NBFCs Must Use AI, Strengthen Underwriting as Credit Growth Accelerates: RBI Deputy Governor Murmu

Growth must never come at the cost of underwriting standards: RBI Dy Guv Murmu tells NBFCs

Lenders need rigorous stress testing, early-warning systems and dynamic provisioning, while AI and machine learning tools should be used more to detect early signs of borrower stress, he said

NBFCs must use AI, strengthen underwriting as credit growth accelerates: RBI Deputy Governor Murmu

Reserve Bank of India Deputy Governor S C Murmu urged NBFCs to use AI and machine learning tools. He emphasized stronger risk management and rigorous stress testing for lenders. NBFC credit growth continues to rise, impacting the overall financial landscape. Technology adoption is transforming credit assessment and management practices. Customer protection and robust governance remain key priorities for the sector.

RBI Deputy Governor Urges Lenders to Use AI, ML to Spot Early Signs of Borrower Stress

Get latest articles and stories on Business at LatestLY. Reserve Bank of India Deputy Governor S C Murmu on Thursday called for greater use of artificial intelligence (AI) and machine learning (ML) tools by lenders to detect early signs of borrower stress, as credit growth gathers pace in the non-banking financial sector. Business News | RBI Deputy Governor Urges Lenders to Use AI, ML to Spot Early Signs of Borrower Stress.