IMPACT OF RBI GUIDELINES ON DIGITAL BANKING GROWTH IN INDIAN :- STUDYING HOW RBI REGULATION SHAPE THE EXPANSION OF DIGITAL BANKING

The Reserve Bank of India (RBI) plays a crucial role in shaping the digital banking landscape in India through its regulatory framework. Recent RBI guidelines have significantly influenced the growth of digital banking by ensuring security, financial inclusion, and innovation. Key regulations, including norms on digital lending, payment aggregators, and data protection, have enhanced consumer confidence while fostering competition among fintech firms and traditional banks. However, stringent compliance requirements and restrictions on non-banking entities have also posed challenges for new entrants. This paper examines the impact of RBI's policies on digital banking growth, analyzing both the opportunities and constraints they create for the sector. The study highlights how a balanced regulatory approach can drive sustainable digital banking expansion in India. Keywords:RBI guidelines, digital banking, financial inclusion, fintech regulation, digital payments, cybersecurity, compliance, digital lending, neobanks, financial innovation.