Microfinance borrowers can now repay loans anywhere, anytime through NBBL initiative

MUMBAI: Through a new partnership, microfinance borrowers can now conveniently repay their loans using any of over 1,000 banking and payment apps or 8 lakh local collection agents via Bharat Connect.NPCI Bharat BillPay (NBBL), a wholly owned subsidiary of NPCI, has onboarded NABARD Financial Services (NABFINS), a subsidiary of NABARD, on the platform under its Loan Repayment category. The integration will cover over 1 lakh NABFINS customers across 19 states and allow them to pay EMIs and overdue instalments through digital and assisted channels.Canara Bank facilitated the onboarding as the Biller Operating Unit (BOU). According to Dr Y Haragopal, managing director of NABFINS, the partnership will make loan repayments more accessible to customers in underserved communities. "Our association with NPCI Bharat Connect is another step towards enabling seamless, secure, and convenient digital payment solutions for our customers. This initiative reinforces our commitment to leverage technology to promote financial inclusion and enhance customer experience," he said.According to Sunil Kumar Chugh, executive director of Canara Bank, the integration will expand digital loan repayment options for microfinance borrowers. "This integration marks an important milestone in enabling seamless and convenient digital loan repayment solutions for borrowers, particularly in the microfinance sector. Canara Bank remains committed to fostering digital innovation and strengthening the digital payment ecosystem, thereby contributing to greater financial inclusion and enhanced customer convenience across the country," he said.According to Dr Noopur Chaturvedi, MD and CEO of NBBL, the integration will extend the platform's interoperable payment network to microfinance borrowers. "Through this integration, we are enabling borrowers to benefit from Bharat Connect's expanding and interoperable network, making loan repayments more accessible, convenient, and seamless," she said.The Loan Repayment category has over 400 billers, including banks, non-banking financial companies and microfinance institutions. In the first half of FY27, it processed over 18.8 crore transactions worth around Rs 1.23 lakh crore, with transaction volume rising 18% year on year and transaction value increasing 31%.NBBL operates Bharat Connect, an interoperable platform for bill payments and collections. Its services include consumer bill payments, business-to-business collections, invoice management, reconciliation and access to structured financing options. Its Banking Connect platform enables interoperability between banks and payment aggregators for merchant transactions. NBBL is also the settlement agency for the Open Network for Digital Commerce (ONDC).You use AI every day. Now get your AI Quotient. Take the AIQ test.