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

RBI Announces List of NBFCs in the Upper Layer (NBFC-UL) under Scale Based Regulation

14-Sep-2023 | Press Release: 2023-2024/923

Reserve Bank of India (RBI) has released a Press statement regarding the categorization of Non-Banking Financial Companies (NBFCs) under the Scale Based Regulation (SBR) framework, which was introduced on October 22, 2021.

This framework classifies NBFCs into four layers: Base Layer (NBFC-BL), Middle Layer (NBFC-ML), Upper Layer (NBFC-UL), and Top Layer (NBFC-TL). It also outlines the methodology for identifying NBFCs in the Upper Layer based on their asset size and scoring.

The list of NBFC-UL for the fiscal year 2023-24 is as follows:

1. LIC Housing Finance Limited - Deposit taking Housing Finance Company (HFC)
2. Bajaj Finance Limited - Deposit taking Non-Banking Financial Company - Investment and Credit Company (NBFC-ICC)
3. Shriram Finance Limited (formerly Shriram Transport Finance Company Limited) - Deposit taking NBFC-ICC
4. Tata Sons Private Limited - Core Investment Company (CIC)
5. L & T Finance Limited - Non-deposit taking NBFC-ICC
6. Piramal Capital & Housing Finance Limited - Non-deposit taking HFC
7. Cholamandalam Investment and Finance Company Limited - Non-deposit taking NBFC-ICC
8. Indiabulls Housing Finance Limited - Non-deposit taking HFC
9. Mahindra & Mahindra Financial Services Limited - Deposit taking NBFC-ICC
10. Tata Capital Financial Services Limited - Non-deposit taking NBFC-ICC
11. PNB Housing Finance Limited - Deposit taking HFC
12. HDB Financial Services Limited - Non-deposit taking NBFC-ICC
13. Aditya Birla Finance Limited - Non-deposit taking NBFC-ICC
14. Muthoot Finance Limited - Non-deposit taking NBFC-ICC
15. Bajaj Housing Finance Ltd. - Non-deposit taking HFC

It is important to note that TMF Business Services Limited (formerly Tata Motors Finance Limited) qualifies for identification as NBFC-UL but is not included in the current review due to an ongoing business reorganization.

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