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

Reserve Bank of India (Non- Banking Financial Companies - Credit Facilities) Directions, 2025

28-Nov-2025 | RBI/DOR/2025-26/347 DOR.CRE.REC.No. /07-01-008/2025-26

RBI has issued Reserve Bank of India (Non-Banking Financial Companies - Credit Facilities) Directions, 2025, effective from 28th Nov 2025. Applicability: The Directions apply to NBFC-D, NBFC-ICC, NBFC-Factor, NBFC-MFI, NBFC-IFC, IDF-NBFC, HFCs, Partial applicability to CICs, NBFC-P2P, and NBFC-BL with customer interface but no public funds. Key Highlights: - Every NBFC must adopt a credit policy covering Digital lending & DLG arrangements, Lending against gold/silver, Microfinance loans, Project finance, Demand/Call loans, and Housing finance. - A comprehensive, expanded digital lending architecture includes: NBFC Lending Service Provider(LSP) Arrangements, Mandatory written agreements defining roles, Enhanced due diligence of LSPs (technical capability, data governance, borrower treatment), NBFC remains fully liable for all LSP actions and LSP portfolio monitoring is mandatory. - Reporting: All digital loans must be reported to CICs and All DLAs must be reported on RBI's CIMS portal with CCO certification. - Lending Against Gold & Silver (Chapter IV) to be implemented by April 1, 2026. - Microfinance Framework Expanded- Household income cap fixed at ₹3 lakh, Total repayment obligations capped at 50% of household income, Mandatory credit bureau reporting of income & indebtedness, and Board-approved pricing policy with non-usurious interest rate ceiling. - NBFC-ML and UL may offer Partial Credit Enhancement (PCE) to corporate, SPV and municipal bonds subject to strict risk assessment and limits. - NBFCs should immediately: Update credit policies across digital lending, microfinance, project finance and gold/silver portfolios, Review all LSP agreements and implement enhanced data-privacy frameworks, Align systems for CIC reporting and DLA reporting on CIMS, and Re-compute LTV processes and valuation norms for gold/silver loans.

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