 "RBI")
The Reserve Bank of India’s (RBI’s) paper on the proposed framework for regulating non-banking financial companies (NBFCs) is silent on liquidity management and gives risk-weight benefits if they are subject to bank-like regulatory treatment.
Certain intended provisions on real estate exposure, if made into rules, may restrict land financing by finance companies, according to India Ratings.
The paper has not said whether the cash reserve ratio (CRR) and statutory liquidity ratio (SLR) will be applicable to upper layers of NBFCs.
Also, it does not say whether they would be provided, as in the case of banks, a liquidity backstop that can place SLR
