RBI Approves Blockchain-Based MSME Financing Solution in India

The Reserve Bank of India (RBI) has granted approval to a blockchain-powered MSME financing solution developed by IBDIC, a digital infrastructure company backed by ICICI, HDFC, Yes Bank, and Aditya Birla Capital. This new program, now available for regulated entities to adopt, utilizes tokenized invoices from Tier-1 suppliers to offer faster, cheaper credit to small and medium enterprises (MSMEs). This move is in line with the RBI’s efforts to foster innovation in financial technology.