RBI releases list of NBFCs in upper layer under scale-based regulation guidelines

The Reserve Bank of India on Friday released a list of non-banking financial companies (NBFCs) in the upper layer as per the scale-based regulation guidelines:

"The NBFCs mentioned in the table should put in place a board approved policy for adoption of the enhanced regulatory framework applicable to NBFC-UL and chart out an implementation plan for adhering to the new set of regulations within three months from the date of this press release," the RBI said.

The boards of these NBFCs would also be required to ensure that the stipulations prescribed for the NBFC-UL are adhered to within 24 months at maximum from the date of the press statement, the RBI added.

It added that despite HDFC Limited appearing in the list of top 10 NBFCs in terms of asset size, it is not being included in the list of NBFC-UL in the present review because of the ongoing merger process.

Last month, fair trade regulator Competition Commission of India (CCI) approved the merger proposal of HDFC Bank and its parent HDFC Ltd. The proposed combination would envisage the merger of HDFC Investments and HDFC Holdings with HDFC Ltd in the first step and subsequently, the merger of HDFC Ltd into HDFC Bank.