Context: The Reserve Bank of India (RBI) launched three major initiatives — the PRAVAAH portal, a Retail Direct mobile application, and a FinTech Repository.

Background

• These initiatives were announced as part of the central bank’s bimonthly Statement on Developmental and Regulatory Policies in April 2023, April 2024, and December 2023, respectively.

PRAVAAH portal

• The PRAVAAH portal will make it convenient for any individual or entity to apply online for various regulatory approvals in a seamless manner.

• The portal will also enhance the efficiency of various processes related to granting of regulatory approvals and clearances by the RBI.

• On the portal, applicants can submit the application online, track and monitor the status of the application, respond to any clarification or query sought by the RBI in connection with the application and receive a decision from the RBI in a time bound manner.

Key benefits of the PRAVAAH portal include

• Online Application: Enables online submission of applications for regulatory approvals.

• User Convenience: Designed to make the approval process more accessible and less cumbersome.

• Streamlined Process: Facilitates a more efficient approval and clearance process by the RBI.

• Centralized Access: Provides a single, secure platform for all regulatory application needs.

Retail Direct mobile app

• The Retail Direct mobile app will provide retail investors a seamless and convenient access to the Retail Direct platform and provide ease of transacting in government securities.

• The scheme allows retail investors to buy government securities in the primary auctions as well as buy and sell G-Secs in the secondary market.

• Account Management: Enables retail investors to open Retail Direct Gilt accounts with the RBI.

• User Accessibility: Available for download on both the Play Store (Android) and the App Store (iOS), ensuring broad accessibility.

Fintech Repository

• Separately, the Fintech Repository will contain information on the Indian FinTech Sector for a better understanding of the sector from a regulatory perspective and facilitate designing appropriate policy approaches.

• Sector Information: Includes data on fintech companies, their products and services, and the applicable regulatory frameworks.

RBI Retail Direct Scheme

• Retail Direct Scheme is a one-stop solution to facilitate investment in Government Securities by individual investors.

• No fee will be charged for opening and maintaining the Retail Direct Gilt (RDG) account with RBI.

• Opening an RDG account will allow individuals to buy Government securities directly in the primary market (auctions) as well as buy/sell in the secondary market.

• G-sec in the domestic market context are risk free and carry no credit risk.

• Investment option on Retail Direct platform.

Government of India Treasury Bills (T-Bills)

1. Government of India dated securities (dated G-Sec)

2. State Development Loans (SDLs)

3. Sovereign Gold Bonds (SGB)