Reserve Bank of India (RBI) grants NBFC licence to One MobiKwik Systems

Key facts

• One MobiKwik Systems has received approval from the Reserve Bank of India (RBI) for a Non-Banking Financial Company (NBFC) licence to launch its in-house lending business.
• The company will establish a wholly owned subsidiary named MobiKwik Financial Services Private Limited to expand regulated lending operations and roll out credit products for consumers and merchants.
• The NBFC licence is intended to help the fintech firm strengthen its full-stack financial services, improve lending margins, and accelerate the launch of new products.
• MobiKwik plans to leverage Artificial Intelligence (AI) and machine learning models to offer personalised financial products and expand credit access in tier-2 and tier-3 cities.
• The company, which has a user base of over 186 million users, will commence operations after receiving a certificate of registration from the RBI.
• Following the announcement, the share price of One MobiKwik Systems surged by 14.02% to ₹230.26.