KOLKAtA: Former deputy governor of the Reserve Bank of India (RBI), HR Khan has been appointed as the first chairman of the steering committee of the Code for Responsible Lending (CRL) in micro-credit.
The CRL is a self-regulatory step for the micro-credit industry making diverse entities like banks, NBFC-MFIs and NBFCs adhere to standards of customer protection, a statement by Micro-finance Institutions Network (MFIN) said.
CRL was launched in September by MFIN and Sa-Dhan, an RBI-recognised association of MFIs, along with Finance Industry Development Council, an association of NBFCs. "I am excited to be part of this initiative of MFIN and Sa-Dhan. I strongly believe in the importance of promoting responsible finance to protect the interests of underserved and unserved borrowers," Khan said.
The CRL was envisaged to be guided and supervised by a steering committee representing banks, SFBs, NBFC-MFIs, NBFCs and industry associations under an eminent independent chair. Members of the steering committee include Harsh Shrivastava of MFIN, P Satish of Sa-Dhan, Srinivas Bonam of IndusInd Bank and Sonia Krishnankutty of L&T Finance among others, the statement added.