The Centralised Information Management System (CIMS)

Prelims: Current events of national and international importance| Economic and Social Development | Governance

Why in news?

Recently RBI has mandated all Regulated Entities (REs) to report details of their Digital Lending Apps (DLAs) through RBI's Centralised Information Management System (CIMS) portal.

• The Centralised Information Management System (CIMS) – It is a portal designed to collect and manage information about digital lending applications in India.
• Developed by – Reserve Bank of India (RBI)
• Key features of CIMS – It serves as the official reporting platform for Regulated Entities (REs) like banks, NBFC to submit details about their Digital Lending Apps (DLAs).
• It collects standardized information about digital lending applications operating in the Indian financial ecosystem.
• It acts as the central database that will power the public directory of legitimate lending apps.
• The RBI will publish this public directory of DLAs by July 1 on its website.
• The database will update automatically whenever REs adds or remove apps from their submissions.

Significance

• To create enhanced transparency for borrowers in the digital lending sector.
• To establish a verification system for borrowers to identify legitimate lending apps.
• To support RBI's broader regulatory framework for digital lending.
• It will help RBI by improved communication with banks and other regulated companies.
• To bring greater oversight and accountability to the rapidly growing digital lending space in India.

Reference

CNBCTV18| The Centralised Information Management System (CIMS)