No major risk involved in NBFC portfolio, says SBI's Sujit Kumar Varma

NBFCs are facing the heat of a crisis at IL&FS, which defaulted on repayment of its commercial paper dues, leading to a contagion effect in the sector

State Bank of India is reviewing its exposure to non-banking finance companies (NBFCs), which currently stands at about Rs 2 trillion.

While the exercise is expected to be completed over the next fortnight, the bank does not see any major risk involved in its exposure to NBFCs, and the review mechanism is part of a usual exercise, said Sujit Kumar Varma, deputy managing director (corporate accounts group) of SBI, on the sidelines of a banking seminar by the Confederation of Indian Industry (CII).

NBFCs are facing the heat of a crisis at IL&FS, which defaulted on repayment of its commercial paper dues,