Reserve Bank of India action does not imply systemic risk, say NBFC chiefs

RBI's punitive actions over the last year have encompassed both banks and non-banks

The Reserve Bank of India (RBI) recently halted the loan disbursement activities of four non-banking finance companies (NBFCs) from October 2024. Speaking at the Business Standard BFSI Insight Summit 2024, top executives of leading NBFCs – Jairam Sridharan, managing director (MD), Piramal Capital & Housing Finance; Rajiv Sabharwal, MD and chief executive officer (CEO), Tata Capital; Umesh Revankar, executive vice-chairman, Shriram Finance; Vishakha Mulye, CEO, Aditya Birla Capital; and Vivek Kumar Dewangan, chairman & managing director, REC, said the regulator's firm stance against some entities would not have an overall impact on the sector. Edited excerpts: 

The RBI’s recent actions