Page 40 - Nbfcs

RBI panel report suggests big role for NBFCs in developing MSME sector

However, if more NBFCs are allowed in the factoring platform, MSMEs will immediately witness ready buyers, and their debtor delay and working capital cycle will improve vastly

Repairing NBFCs

RBI can't allow liquidity crisis to lead to solvency issues for the sector

Loans sanctioned by NBFCs drop 31% in Q4 due to loss of investor confidence

Long-term loans, commercial vehicle loans, and housing loans saw sharp hit

Funding for NBFCs should accompany RBI's liquidity management rules: FIDC

RBI intends to prescribe stringent rules for liquidity risk management as many NBFCs were hit by a severe asset liability mismatch

RBI assures all help to troubled NBFCs; SBI monitoring exposure to sector

The country's largest lender SBI too said it has been closely monitoring its exposure to the NBFC sector for the past 10 months and taking action as required

Disciplining NBFCs

RBI's draft rules will help reboot the sector

NBFCs may see profit margins squeezing from RBI draft liquidity norms

Instead of providing a much-expected liquidity window to non-bank finance companies via the regular lenders, the central bank took a tougher stance

RBI pushes crisis-hit NBFCs to maintain more high-quality liquid assets

All NBFCs must have contingency funding plans for responding to severe disruptions

Realtors in deep trouble due to crisis in NBFC segment, says Vikas Oberoi

Oberoi said he wants this dust to completely settle between the developers and NBFCs and the banks

RBI asks NBFCs with over Rs 5,000 crore in assets to appoint risk officers

The government took control of IL&FS last year after its default triggered fears about contagion in India's financial sector.

IL&FS defaults, liquidity crunch may lead to M&As between banks and NBFCs

A good deal with an NBFC will help the smaller and regional banks grow exponentially; some of the bigger NBFCs anyway have a good feel of the bottom of the pyramid

Three choices before wobbly NBFCs

The fate of NBFCs with large exposures to the developers is intertwined with the real estate sector

Small Finance Banks, banks cede MFI market share to NBFCs

The share of NBFC-MFIs increased from 32% to 37% in the time period

NBFCs looking at offshore funds to diversify borrowing sources

The relaxation in the ECBs and masala bonds norms has made it attractive for the NBFCs and HFCs to tap into the offshore credit market for funds

New NBFC loans for real estate developers may be Rs 1.7 trillion

Experts warn that the levels of non-performing assets (NPAs) could inch up further in the current quarter.

RBI's NBFC risk-weight move to carve Rs 1.4 trn for bank credit: Crisil

Of this, banks could deploy a portion towards higher rated NBFCs given the lower risk weight for these entities

NBFC liquidity normalises, fresh bond sales jump 30% in January: Report

Signalling an end to the liquidity crisis that NBFCs have been facing since last September, corporate bond issuances by them have risen by 30 percent in January, reflecting renewed confidence among both issuers as well as investors, says a report. It can be noted that non-banking finance companies or NBFCs are the biggest issuers of debt in the corporate bond market, controlling nearly 90 percent of the volume. With the 30 percent spike in fresh issuances in January, their share has clawed backed to the near normal levels to 82.2 percent of the volume. Shadow bankers depend on the bond market to raise short -term capital for on-lending, and they go to banks for long-term finance. In the previous seven months, amidst the challenging liquidity constraints faced by the sector following the IL&FS bankruptcy, the corporate bond issuances on a monthly basis has seen falling. Fresh corporate bond issuances by NBFCs saw a notable decline from 71.6 percent (of the total ...

IL&FS-led liquidity woes, Aadhaar ban roil NBFCs, micro-lending dips by 15%

The liquidity crisis at NBFCs triggered by the bankruptcy of IL&FS and the Supreme Court verdict banning use of the Aadhaar data for financial transactions have led to a 15 per cent drop in micro-lending by financial institutions for the December 2018 quarter. Disbursements stood at Rs 41,840 crore for the third quarter of the current fiscal year, down from Rs 49,450 crore in the preceding three months, show the data from the credit information company Crif High Mark. "There were two major changes during the quarter which may have resulted in the decline. First was the liquidity trouble, which subsided towards the end of the quarter, and the second was the Aadhaar verdict," agency vice president Parijat Garg told PTI. Garg said the Aadhaar verdict, which prohibits all financial institutions including non-banking finance companies from storing a users data, resulted in a fall in disbursements and also resulted in a marginal fall in the share of NBFC-MFI lenders in ...

RBI governor Shaktikanta Das rules out asset quality review of NBFCs

Shaktikanta Das also discussed the current regulations and requirements for investment in fixed income for FPIs

Letter to BS: Can't afford to have public confidence in system shaken up

The country can't afford to have NBFCs with such large asset portfolios springing unpleasant surprises on the financial system