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Ahmedabad : Cygnet Account Aggregation Pvt Ltd (Cygnet AA), a part of the Cygnet Group, has got an in-principle approval from RBI to operate as an account aggregator (AA). Account Aggregator is one of the largest open financing data-sharing protocols regulated by RBI. It allows consumers to instantly share their financial data, securely and digitally with various financial institutions. It facilitates financial institutions to quickly and conveniently access consumers’ consent-based financial data.

Niraj Hutheesing, Director of Cygnet AA said, “The account aggregator license will allow us to participate in the transformational changes that are taking place in the financial sector. We’ve seen how UPI has changed the payment ecosystem, similarly, Account Aggregator will be a game changer for digital lending and financial inclusion. Small and medium-sized businesses will get better credit facilities whilst banks and other financial institutions will get an opportunity to widen their lending portfolio. RBI, SEBI, IRDAI and PFRDA are already in various stages of integration with the account aggregator ecosystem as Financial Information Providers (FIP). With the addition of GSTN as a FIP, along with banks and financial institutions, this will play an important role in unleashing the flow-based credit facility to the otherwise underserved SME sector.”

As per a report by Sahamati, 1.1 billion accounts, including all the major public and private bank accounts are live on the account aggregator ecosystem.

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