Self-Regulatory Organization for the Account Aggregator Ecosystem

The Reserve Bank of India’s recent announcement inviting applications for recognizing a Self-Regulatory Organisation (SRO) for the Account Aggregator (AA) ecosystem marks a significant milestone in the evolution of India’s financial data-sharing landscape. Sahamati welcomes this proactive step, which is set to enhance the ecosystem’s governance, coordination, and operational efficiency.

The AA framework, introduced in 2016, enables secure data sharing between Financial Information Providers (FIPs) and Financial Information Users (FIUs) via licensed NBFC-AAs. With participants regulated by multiple authorities like RBI, SEBI, IRDAI, PFRDA, and the Department of Revenue, the ecosystem’s complexity necessitates a dedicated body to manage operational issues such as dispute resolution, standardized agreements, and common services.

As a collective of AA ecosystem participants dedicated to driving adoption and strengthening operational standards, Sahamati sees this move as a natural progression in the ecosystem’s evolution. Establishing an SRO will help institutionalize industry best practices, enhance accountability, and create a structured platform for ecosystem participants to collectively address emerging challenges and opportunities. This will be crucial in ensuring sustained growth and improved customer trust in the AA framework.

The Framework for Recognising Self-Regulatory Organisations (SROs) for the Account Aggregator Ecosystem can be found here.