Economics • Banking & FinanceMedium
What is the primary purpose of introducing the 'Account Aggregator' (AA) framework in the Indian financial system?
A. To merge public sector banks into larger mega-banks
B. To enable secure, consent-based sharing of financial data across institutions in real-time✓ Correct Answer
C. To regulate foreign institutional investments in the domestic stock market
D. To provide deposit insurance coverage up to higher limits for cooperative banks
💡 Solution & Explanation
The Account Aggregator framework is a Reserve Bank of India-regulated digital infrastructure that facilitates secure, consent-based sharing of financial data across diverse institutions in real time. It empowers consumers to share their financial records without exposing sensitive login credentials.
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