Bajaj Finance complies with RBI's directives, formally requests review of imposed restrictions

India’s leading non-bank lender, Bajaj Finance, announced on April 25 that it has taken the necessary steps to comply with the Reserve Bank of India's (RBI) directives concerning two of its lending products. The company has formally reached out to the regulatory authority, seeking a review and removal of the restrictions imposed.

In response to the RBI's action last year, which instructed Bajaj Finance to cease the sanction and disbursal of loans under its 'eCOM' and 'Insta EMI Card' products with immediate effect, the company has made the requisite adjustments. The RBI cited non-compliance with the existing provisions of digital lending guidelines, specifically regarding the issuance of Key Fact Statements to borrowers and identified deficiencies in these statements.

Bajaj Finance's move comes as part of its efforts to address the concerns raised by the central bank and to ensure alignment with regulatory requirements. The company's formal request for a review of the imposed restrictions underscores its commitment to regulatory compliance and its intent to resolve the matter in a timely manner.

As this remains a developing story, further updates will be provided as available.