BasisPointInsight.com - Large NBFCs Cannot Remain Exempt From Leadership Tenure Discipline by Srinath Sridharan If systemically important NBFCs are large enough to matter to financial stability, they are large enough to face governance disciplines closer to banks. India should stop mistaking executive longevity...

India cannot treat large #nbfcs as systemically important on #risk, but optional on #governance. CEO tenure and succession planning must become prudential disciplines, not promoter conveniences, writes @ssmumbai.bsky.social

Read Srinath Sridharan's column for BasisPoint 👇

#RBI

Govt to set up high-level committee on banking for Viksit Bharat, bolster NBFCs New Delhi, Feb 1 (SocialNews.XYZ) Sending a clear message about India’s robust financial sector to the world, Finance Minister Nirmala Sitharaman on Sunday said to keep reforms on track, the government will set up a high-level committee on banking for Viksit Bharat. This group will review the entire banking system and suggest changes to support India’s next stage of economic growth.

Govt to set up high-level committee on banking for Viksit Bharat, bolster NBFCs #Govt #ViksitBharat #NBFCs #socialnewsxyz

RBI issues norms for internal ombudsman in banks, NBFCs Mumbai, Jan 14 (SocialNews.XYZ) The Reserve Bank of India (RBI) on Wednesday issued guidelines for the appointment and functioning of internal ombudsmen in banks and NBFCs, aimed at strengthening the mechanism for resolution of customer grievances. The RBI has issued separate directions for commercial banks, small finance banks, payments banks, non-banking financial companies, non-bank prepaid payment instrument issuers, and credit information companies to ensure specific clarity to each category.

RBI issues norms for internal ombudsman in banks, NBFCs #RBI #NBFCs #socialnewsxyz

BasisPointInsight.com - Inside RBI’s Basel III Credit Risk Overhaul by Rahul Ghosh RBI’s alignment to Basel-III capital requirement norms will free up more money to be lent to MSMSEs and NBFCs. by Rahul Ghosh, BasisPointInsight.com

RBI’s Basel-III overhaul could free up more capital for MSMEs and NBFCs — but it also raises the bar for risk management.

What’s changing, and why it matters.

Read Rahul Ghosh’s column for BasisPoint: Inside RBI’s Basel III Credit Risk Overhaul👇

#RBI #BaselIII #MSMEs #NBFCs #PolicyUpdate

BasisPointInsight.com - Provisioning for Appearances: RBI’s Half-Hearted Tryst with ECL   by R. Gurumurthy Has the RBI truly embraced global best practices, or just adopted them for appearances? India’s half-hearted ECL rollout exposes a deeper discomfort with accountability. by R. Gurumurthy, BasisPointIn...

1/3 India adopted ECL to align with global norms — but without the data, governance, or institutional discipline that make it work.

NBFCs live in a dual-rule world, banks remain exempt, and auditors seldom challenge assumptions.

#RBI #ECL #IFRS9 #NBFCs

India’s central bank finalizes co-lending rules for banks, NBFCs Investing.com -- India’s central bank has issued final rules for co-lending arrangements between banks and non-bank financial companies (NBFCs), expanding these partnerships beyond priority sector lending while implementing stricter regulations. The Reserve Bank of India (NSE:BOI) (RBI) announced Wednesday that the new framework will take effect January 1, 2026. Under these rules, lenders must retain at least 10% of individual loan exposures on their books and clearly communicate roles and responsibilities to borrowers. The regulations aim to provide regulatory clarity and strengthen risk-sharing mechanisms in joint lending portfolios, according to the RBI. The framework requires partner lenders to reflect their share of loans within 15 days of disbursement. It also restricts default loss guarantees to originating entities, with such guarantees capped at 5% of outstanding loans. Asset classification will be implemented at the borrower level, meaning if a default is flagged by one lender, it will apply to the other lender’s exposure as well. The final rules appear more restrictive than the April draft, which had allowed broader flexibility, including guarantees by the lender onboarding the borrower. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Click Subscribe. #India #CentralBank #CoLending #Banking #NBFCs

Breaking Down The NBFC’s Multi-Segment Lending Playbook In India’s fast-evolving financial services landscape, Hero FinCorp has quietly built a reputation as a high-growth, tech-forward, and cu...

#SPACS #Breaking #lending #MultiSegment #NBFCs #playbook

Origin | Interest | Match

Collaboration between NBFCs and banks needs to be institutionalised: FM Sitharaman New Delhi, July 9 (SocialNews.XYZ) Gross loan advances by non-banking financial companies (NBFCs) have grown significantly, doubling from Rs 24 lakh crore as of March 2021 to Rs 48 lakh crore as of March 2025, Finance Minister Nirmala Sitharaman said on Wednesday. Addressing the ‘NBFC Symposium 2025’ here, she said NBFCs have emerged as an important source of credit for segments that have historically been underserved or excluded.

Collaboration between NBFCs and banks needs to be institutionalised: FM Sitharaman #Collaboration #NBFCs #FMSitharaman #socialnewsxyz