RBI to Launch Unified Lending Interface (ULI)

Unified Lending Interface (ULI) - Key Details

The Reserve Bank of India (RBI) has announced the launch of the Unified Lending Interface (ULI), an initiative to streamline and simplify the loan application and approval process, inspired by the success of the Unified Payments Interface (UPI).

Announcement Overview

• Announcement Date: 26 August 2024.
• Announcer: RBI Governor Shaktikanta Das.
• Objective: To launch ULI aimed at enhancing the lending process in India, similar to how UPI revolutionized digital payments.

Significance and Features

• Revolutionizing Lending: Just as UPI transformed the payments system, ULI is set to enhance the lending process.
• Simplicity: The loan application process will be made easier and more user-friendly.
• Reduction in Time and Paperwork: Faster credit processing with less paperwork.
• Open Architecture: ULI will allow integration with financial institutions through APIs.
• Data Collection: ULI will collect relevant data from Aadhaar, e-KYC, land records, and more for smoother processing.
• Linking Services: ULI will connect with services like dairy and property data for better lending decisions.