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Corporate Laws Central Ministry of Finance Reserve Bank of India Act, 1934

Master Direction - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023

19-Oct-2023 | RBI/DoR/2023-24/105 DoR.FIN.REC.No.45/03.10.119/2023-24

Reserve Bank of India has issued Master Direction - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023 in supersession of the Non-Banking Financial Company-Non-Systemically Important Non-Deposit taking (Reserve Bank) Directions, 2016 and Non-Banking Financial Company-Systemically Important Non-Deposit taking Company and Deposit taking Company (Reserve Bank) Directions, 2016. The Master Direction aims to provide a comprehensive framework for regulating Non-Banking Financial Companies (NBFCs) in India prescribing the following:
1. Regulations applicable to all four layers of NBFCs.
2. Specific Directions applicable for Non-Banking Financial Company - Micro Finance Institutions (NBFC-MFIs) and Microfinance Loans of other NBFCs.
3. Specific Directions applicable for NBFC-Factors and NBFC-ICCs Registered under the Factoring Regulation Act, 2011.
4. Specific Directions applicable for Infrastructure Debt Funds - Non-Banking Financial Company (IDFs-NBFC).
5. Regulatory Guidance on Implementation of Indian Accounting Standards by NBFCs.
6. Norms on Restructuring of Advances by NBFCs.
7. Flexible Structuring of Long Term Project Loans to Infrastructure and Core Industries.
8. Guidelines on Liquidity Risk Management Framework.
9. Reporting Format for NBFCs Declaring Dividend.
10. Guidelines on Distribution of Mutual Fund Products by NBFCs.


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