Unified Lending Interface

Current Context : Reserve Bank of India will launch an application for frictionless credit named Unified Lending Interface (ULI).

Objective :  to transform India’s lending sector, similar to how the Unified Payments Interface (UPI) revolutionised the payments ecosystem.

ABOUT ULI

• It is a technology platform which would enable frictionless credit. 
• It will provide lenders consent-based digital access to customer’s financial and non-financial data including land records, stored in various silos to help them extend frictionless credit, especially to farmers and micro, small, and medium enterprises (MSMEs).
• It would reduce the time taken for credit appraisal, especially for small and rural borrowers.

It allows borrowers to benefit from the seamless delivery of credit and faster turnaround time without requiring extensive documentation.