India’s flourishing economy hinges on the success of its ~40 million Micro, Small, and Medium Enterprises (MSMEs), which contribute nearly 30% to the country’s GDP and about 45% to its exports. However, a few persistent roadblocks, including access to timely credit, continue to hinder MSMEs’ potential growth and scalability. For lenders, evaluating the creditworthiness of […]
The Reserve Bank of India’s (RBI) Unified Lending Interface (ULI) is a groundbreaking technological innovation poised to transform the Indian lending sector. The digital platform aims to facilitate the loan application process by providing lenders with quick access to comprehensive financial data through standardised APIs. This way, ULI reduces paperwork, speeds up approvals, and improves […]
A borrower’s financial data provides significant insight into their financial status and creditworthiness. This data helps banks make lending decisions during the underwriting process. However, it is equally important for banks to observe non-financial indicators that help predict a borrower’s future behaviour. These indicators can inform banks about the ability of a borrower to fulfil […]
As of March 2024, the gross non-performing assets (GNPAs) ratio for scheduled commercial banks stands at 2.8%, a 12-year low, exhibiting an improvement in managing default risks. Despite this, lenders must be continually wary of the impact of risky loans, as it is not just limited to the lending institutions’ profitability. It significantly undermines the […]
Have you ever wondered what happens when you apply for a loan? A complex decision-making process is set in motion. At present, this decisioning stage in loan processing stands at the crossroads of a transformation, wielding the power to shape the destinies of individuals and businesses alike. By eliminating some of the more time-consuming procedures […]
It would be an understatement to say that the adoption of advanced technologies has triggered evolutionary changes in the banking and finance industry. In the Indian scenario especially, lending tech has democratised credit delivery by providing loans and advances to demographics and industries that were otherwise overlooked by conventional banking. To a large extent, this […]
Precisa is a cloud-based, intuitive analytics system with intelligent automation developed for lending, insurance, wealth management, and personal finance decision-makers. Bank transactions are good predictors of a company’s or individual’s revenue, costs, and, most crucially, spending habits. When paired with GST returns data, bank transaction data provides a reliable picture of a company’s current performance […]
