The Chair on Consumer Law and Practice, at the National Law School of India University (NLSIU), Bengaluru through has undertaken a research study titled “Digital Lending Ecosystem: A Case for Inclusion of NBFCs in Credit Line on UPI.”

The study was conducted by:

• Dr. Sudhanshu Kumar, Associate Professor of Law, NLSIU
• Harsha N, Assistant Professor of Law, NLSIU
• Dr. Garima Gupta, Assistant Professor of Law, NLSIU
• Karthik Suresh, Assistant Professor of Law, NLSIU
• Aditi Pangotra, Research Assistant

Funded by the Technology Services Industry Association, the study examines the evolution of the Unified Payments Interface (UPI) from a payments rail into a credit-enabled digital public infrastructure, with a focus on the Credit Line on UPI framework and the present exclusion of Non-Banking Financial Companies (NBFCs) from direct participation.

As part of the project, a stakeholder consultation was held on January 16, 2026, with participation from industry and industry associations, generating positive feedback on the White Paper. The findings were also presented to government stakeholders on March 24 and 27, 2026.

This work contributes to ongoing policy discussions on digital lending, financial inclusion, and the future of India’s digital public infrastructure.

Read the White Paper here.

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