Non Banking Financial Companies NBFCs in India : Functioning and Reforms

Contents Preface 1 Financial Intermediaries in India 2 NBFCs in India An overview 3 Regulation and Supervision of NBFCs 4 Prudential Norms for NBFCs 5 Credit Rating of NBFCs 6 Audit Procedures for NBFCs 7 Asset Liability Management ALM System for NBFCs 8 Treatment of NBFCs under General Law 9 NBFCs Global Experiences Appendices Index Non banking financial companies NBFCs constitute a heterogeneous lot of privately owned small sized financial intermediaries which provide a variety of services including equipment leasing hire purchase loans investments and chit fund activities These companies play an important role in providing credit to the unorganized sector and to the small borrowers at the local level Hire purchase finance is by far the largest activity of NBFCsNBFCs have been the subject of focussed attention since the early 1990s The rapid growth of NBFCs has led to a gradual blurring of dividing lines between banks and NBFCs with the exception of the exclusive privilege that commercial banks exercise in the issuance of cheques NBFCs are widely dispersed across the country and their management exhibits varied degrees of professionalism Furthermore the depositors have varied degrees of perceptions regarding safety of their deposits while making an investment decision This book provides an exhaustive account of the functioning of and recent reforms pertaining to NBFCs is India It also includes an all India list as on January 15 2010 of 314 NBFCs which have been issued certificates of registration by the Reserve Bank of India to hold accept deposits from public Jacket 210 pp.…