Regulation is critical, but shouldn't throttle NBFCs: Economic Affairs Secy

Subhash Chandra Garg says govt doesn't even know whom to approach in order to address NBFC issues as there are no organisations representing the sector

Batting for sound regulation of the non-banking financial company (NBFC) sector in the times of instability, Union economic affairs secretary Subhash Chandra Garg said regulation is necessary for development, but a regulation that throttles is not the proper way to go.

“We need to nurture this (NBFC) story, protect, promote and develop it. At the same time, we have to ensure that this gets regulated,” said Garg.

“I don’t see a conflict between regulation and development. Sound regulation is necessary for better development. Regulation that throttles is not proper regulation,” he added, at the NBFC Summit organised by the Confederation of Indian