Mumbai - Bank of India has signed a pact with Paisalo Digital to lend to micro borrowers through online platforms. This pact will also enable loans under micro units development and refinance agency scheme, the lender said in a press release.
According to the Reserve Bank of India's norms, all scheduled commercial banks, except regional rural banks and small finance banks, are allowed to co-originate loans with non-deposit taking systemically-important non-bank finance companies.
Norms for co-origination of loans by banks and non-bank finance companies are aimed at enabling priority sector lending at more competitive rates.
At 1242 IST, shares of Bank of India were 1.7% higher at 72.20 rupees and shares of Paisalo Digital were up 0.4% at 464.25 rupees on the National Stock Exchange.
