Securitisation, Reconstruction Firms To Maintain 15% Car

RBI says aspirants should have minimum owned fund of Rs 2 crore

The Reserve Bank of India (RBI) today said every Securitisation Company or Reconstruction Company (SC/RC) should maintain, on an ongoing basis, a capital adequacy ratio of not less than fifteen per cent of its total risk weighted assets.

Further every such company seeking its registration will need to have a minimum owned fund of Rs 2 crore.

The central bank, which issued final guidelines and directions for SC/RCs, said that these companies can raise funds via the instrument of Security Receipts issued by the Trust (s) set up by them.

 

The Trust(s) will issue Security Receipts only to qualified institutional buyers and hold and administer the financial assets for the benefit of the qualified institutional buyers.

Every SC/RC should frame a `Financial Asset Acquisition Policy