Advertisement
When should a housing society in Mumbai start considering re...
From GST on JDAs to SEBI’s REIT reclassification and the S...
Stay ahead in the world of real estate with our daily podcas...
Stay ahead in the world of real estate with our daily podcas...
The Reserve Bank of India's governor recently met senior executives from key non banking financial companies (NBFCs), housing finance companies (HFCs), and microfinance institutions, which together hold over 50 % of NBFC assets. He emphasized maintaining robust underwriting standards, close monitoring of asset quality, and ethical lending practices to ensure sector stability. The governor also stressed customer focused operations and prompt grievance redressal. Industry representatives provided feedback on operational challenges and policy matters, continuing a dialogue initiated in past RBI meetings to strengthen financial stability and responsible credit practices.
The Reserve Bank of India's governor, Sanjay Malhotra, met senior leaders from major non banking financial companies (NBFCs), housing finance companies (HFCs), and microfinance institutions in Mumbai earlier this week. The discussion was part of the RBI's ongoing regulatory engagement with key credit providers, with participants representing over 53% of NBFC sector assets. Advertisement
During the meeting, the governor highlighted the critical role of NBFCs and HFCs in ensuring smooth credit flow in the economy. He stressed that these institutions must maintain sound underwriting standards and implement rigorous monitoring of asset quality to prevent deterioration in loan portfolios. This comes amid RBI's continued efforts to safeguard financial stability in the non bank lending space.
Malhotra also focused on promoting customer centric operations, ethical conduct, and responsible lending. He emphasized that firms should strengthen grievance redressal systems and ensure transparent practices, which are essential for maintaining public confidence and sustaining orderly sector growth. He noted that adhering to these standards is crucial for long-term resilience and trust in the financial ecosystem.
The meeting included industry representatives from self regulatory groups and networks, including Sa Dhan, the Micro Finance Institutions Network, and the Finance Industry Development Council. They shared feedback on operational challenges and policy concerns, enabling the RBI to better understand sector dynamics. Senior officials from the RBI and the National Housing Bank were also present to provide guidance and insights.
This engagement follows similar interactions in previous years, reflecting RBI's ongoing commitment to dialogue with NBFCs and HFCs. By addressing emerging risks and reinforcing disciplined practices, the central bank aims to strengthen sector resilience and support sustainable credit growth.
Source PTI
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
