Regulations, audit for UCBs & NBFCs to be brought on par with banks: RBI

Non-banking finance companies (NBFCs) have got special attention in the latest monetary review with Reserve Bank of India (RBI) governor Shaktikanta Das making the central bank’s commitment to ensure these entities are strong and robust while also announcing tighter regulations for the sector in the near future. “We want the NBFC sector to remain robust. It plays an important part in filling the last mile gap and hence we have also made some changes like allowing co-lending with banks. It is a priorty for the RBI to ensure they remain strong and work well,” Das said. RBI has proposed a scale based regulatory framework for NBFCs depending on their size, a discussion paper for which will be out by January 15 for public comments.