The Reserve Bank of India announced a revised framework for non-banking financial companies (NBFCs), raising the minimum net owned funds limit while capping deposit acceptance and aligning bad loan norms with banks.
NBFCs will need to have minimum net owned funds of 10 million rupees ($162,668) by end-March 2016, and raise it to 20 million rupees by end-March 2017, the RBI said in a circular on Monday.
The revised norms come after the central bank’s announcement in its monetary policy review in September, and take effect immediately. ($1 = 61.4750 rupee)