 "rbi, reserve bank of india")
Large exposure norms for banks were on Monday amended by the Reserve Bank of India (RBI). The move will make lending to non-banking financial companies (NBFC) more streamlined and invite scrutiny on the structure of these entities.
The new framework, however, also makes it possible for government entities to borrow more, as they will not be considered part of a group of connected entities.
The central bank introduced economic interdependence criteria in the definition of connected counterparties and said banks must check how the different parties in a group were invested in each other's assets.
The RBI also excluded entities connected with
