Page 27 - Nbfcs

In a relief to banks and NBFCs, Reserve Bank of India modifies AIF norms

RBI said that its regulated entities (REs) will now be required to make provisioning only to the extent of the amount invested by the AIF scheme in the debtor company and not the entire investment

Microlending portfolio grows 31% to Rs 4.02 trillion in Dec quarter: Report

Microlending portfolio across lenders of all categories grew 30.9 per cent to Rs 4.02 lakh crore during the December quarter. When compared with the preceding September quarter-end, the overall portfolio showed a 6 per cent growth, the report by a credit information company said. Non-banking finance company-microfinance institutions (NBFCs-MFI) continue to dominate the sector, with a market share of 38.3 per cent, followed by 33.4 per cent for banks, 17.4 per cent for small finance banks and 9.4 per cent with NBFCs, it said. From an asset quality perspective, the loans that are not serviced for over 30 days were stable at 2 per cent, while the same for over 90 days was also stable at 0.9 per cent. The average balance per borrower inched up to Rs 48,900 during the December quarter, as against Rs 48,200 in the quarter-ago period and Rs 46,900 in the year-ago period, the data said. A bulk 83.4 per cent of the borrowers had exposure to less than 2 lenders in December, with Tamil Nadu

Bank direct lending to NBFCs to moderate at Rs 1.7-1.9 trn in FY25: ICRA

That's because of the recent rise in risk weights by the Reserve Bank of India for NBFC exposures

NBFC's mission to diversify funding may see them struggle in the quest

Mint Road's nudge to NBFCs to diversify their funding will change the game. NBFCs claim they have been caught off guard, but the issue was flagged by RBI Governor

RBI declines request to classify HDFC Ltd bonds as infrastructure bonds

HDFC bank had sought the RBI's approval to classify bonds with maturities between 7-10 years, worth around Rs 1.2 trillion, as infrastructure bonds

Loan distribution by FACE members rise by 12.2% to 24.8 mn in Q3FY24

The report added that 12 per cent of loans distributed between April and December 2023 went to women

Bajaj Finance rises 2% in weak market; BNP Paribas sees up to 35% upside

Brokerage firm BNP Paribas India initiated coverage on the stock with outperform rating and a target price of Rs 9,040.

Poonawalla Fincorp announces appointment of Arvind Kapil as MD & CEO

The current MD & CEO of the company, Abhay Bhutada, has been elevated to a group-level role

All that glitters is not gold for Reserve Bank & FinMin

Rightly so. Since November 1962, there have been many attempts to monetise gold. It's finally happening, but we must look for sustainable growth

Addressing grievances

RBI should focus more on spreading financial awareness

IIFL Finance planning Rs 1,500 cr rights issue to shore up capital adequacy

Adds two directors on board, rejigs top management

L&T Finance Holdings inks pact with JICA for $125 million funding

The project is strategically aligned with the goals of the Ministry of Rural Development as it focuses on lending in rural and peri-urban areas of lagging Indian states

L&T Finance, L&T Infra Credit, 5 NBFCs surrender registration certificates

L&T Finance, L&T Infra Credit, and five other non-banking financial companies (NBFCs) have surrendered their certificates of registration to the Reserve Bank of India. Following this, the central bank cancelled their Certificate of Registration (CoR) as they ceased to be a legal entity after amalgamation, merger, dissolution or voluntary strike-off. In December last year, L&T Finance Holdings (LTFH) had announced the completion of merger of subsidiaries L&T Finance, L&T Infra Credit, and L&T Mutual Fund Trustee, with itself. The other five NBFCs which surrendered their CoR are Marudhar Food & Credit Ltd, Creative Intra Ltd, Jinvani Trading & Investment Company, Manjushree Fincap, and Shruti Financial Services. In another statement, the RBI said it has cancelled CoR of four NBFCs -- Nimisha Finance India, R.M.B. Finance Company, Suyash Finovest, and Kamdhar Leasing and Finance Ltd. These four companies cannot transact the business of a non-banking ...

Aditya Birla Finance may merge with Aditya Birla Cap within next 12 months

This is the second instance of such a merger in the NBFC space. Earlier, Tata Capital Financial Services merged with its parent entity Tata Capital from January 1, 2024

Sebi, RBI widen investigation into public debt issue subscriptions: Report

Investigators are also studying if disproportionate loans were given to subscribes and whether customer identification processes were not adequately followed, the sources added

Sebi bars JM Financial from acting as lead manager of debt issue

Shares of JM Financial tanked by 20 per cent following the RBI order on Wednesday. Later, the stock recouped the bulk of the losses

IIFL, Manappuram, L&T Finance: These NBFCs can fall another 22%; here's why

Among the frontline NBFCs, Bajaj Finance looks interestingly poised, with the stock attempting to form a bottom following a 17 per cent decline since mid January, suggests technical chart.

Fairfax India agrees to give IIFL Finance up to $200 mn liquidity support

NBFC's stock falls another 20% after RBI bars it from disbursing gold loans

8 NBFCs to raise $2 bn through ECB after positive outlook for Indian firms

Overseas borrowing by Indian corporates and high-rated non-banking financial companies (NBFCs) is likely to grow as hedging costs are low and there is a softening bias of global interest rates

'Mahindra Finance aims to nearly double non-vehicle loan book in FY25'

Currently, non-vehicle finance comprises 5%-6% of the company's loan book. The target will be met in phases and may not exceed 10% in 2024-25, Iyer said