Скачать или смотреть RBI Brings New Rules for Banks & NBFCs

RBI Brings New Rules for Banks & NBFCs #rbinews #stockmarket #money #shortsfeed #anilsinghvi #shortsfeed

The Reserve Bank of India (RBI) has announced a significant policy change, reducing the risk weight requirements for banks' consumer microfinance loans from 125% to 100%. This adjustment aims to stimulate lending activities and support economic growth. Additionally, the RBI has reinstated previous risk weight practices for banks' exposures to non-banking financial companies (NBFCs), basing them on credit ratings. These measures are expected to enhance credit flow, particularly benefiting NBFCs and microfinance institutions

👉Following the announcement, shares of financial companies, especially those focused on non-bank lending and microfinance, experienced notable gains. For instance, Bandhan Bank saw a 6% increase, while Shriram Finance and AU Small Finance Bank each rose by approximately 5%. Analysts view these regulatory relaxations as positive steps for the financial sector, potentially boosting consumption and overall economic growth.

👉These policy changes come in the context of the RBI's ongoing efforts to balance financial stability with growth. In recent months, the central bank has been closely monitoring non-bank lenders, cautioning against aggressive growth strategies that could pose risks to financial stability. The current easing of regulations indicates a strategic shift to encourage lending while maintaining oversight

RBI #NBFC #Microfinance #IndianEconomy #financialgrowth #money
Credit : Zee Business