Data Localization for Payment System Operators
The Reserve Bank of India has recently mandated that all payment system operators must store data in India only and allow unfettered access to supervisors. In mandating an “India only” requirement, the Government of India reform will have widespread impact on the digital payment industry and its future growth in India. USIBC has actively engaged the Government of India on behalf of member companies to address the Government of India’s concerns with cybersecurity and data fraud, and allow continued growth of the digital payments in India.
Creation of a Public Credit Registry for India
The Government of India is in the process of implementing a public credit registry for India that would perform credit data services and provide systemic risk analytics. Many of these credit data services are currently performed by private credit bureaus currently operating in India. The proposed reform will fundamentally change the credit data architecture in India and implicates the ability of these private credit bureaus to continue to operating in India. USIBC has undertaken advocacy to work with the Government of India to identify the best path forward to meet the credit data needs of India and its citizens.
Two-Factor Authentication for Certain Transactions
Exempted two-factor authentication for card-not-present transactions below a certain threshold. This allowed the use of digital payment methods for a broader set of transactions.
Harmonization of Capital Adequacy Requirements for Foreign-owned Asset Managers
Normalized the capital adequacy requirements for foreign-owned asset managers with those for domestic companies. This resulted in member companies changing their decision to exit India.
Nileema Pargaonker serves as the Senior Director for the Council’s financial services portfolio. She works with both financial service providers and policy makers to build a dynamic financial services sector in India.
Nileema previously served at the Financial Industry Regulatory Authority (formerly NASD) (FINRA) where she spent more than 16 years as a regulator in a number of divisions including, Corporate Finance and Enforcement. For ten of those years, she was as a Director in FINRA’s International Department where she led FINRA’s relationships with foreign regulators in Europe and Asia. In this role, she delivered technical assistance to emerging markets on regulatory rule reform, oversight programs, and policy development.
Nileema earned her Bachelor’s degree from University of Chicago, a Master’s in South Asian Studies from University of Wisconsin-Madison, and a JD/MA (International Law) from American University — Washington College of Law.