Impact of Regulatory Changes on Non-Banking Financial Companies' Growth

  • Unique Paper ID: 167895
  • Volume: 11
  • Issue: 4
  • PageNo: 644-649
  • Abstract:
  • Abstract: Non-Banking Financial Companies (NBFCs) play a critical role in India's financial ecosystem by providing credit and financial services to sectors often underserved by traditional banks, such as small businesses and low-income individuals. However, the growth trajectory of NBFCs has been significantly influenced by evolving regulatory frameworks, particularly those imposed by the Reserve Bank of India (RBI). This study examines the impact of recent regulatory changes, including capital adequacy norms, liquidity requirements, and asset quality standards, on the growth and operational strategies of NBFCs. By analysing financial data and industry trends, the paper aims to understand how these regulatory reforms have affected NBFC profitability, risk management, and market expansion. Additionally, it explores the balance between regulation and growth, shedding light on the challenges NBFCs face in maintaining stability while pursuing innovation and inclusivity in the financial sector.

Cite This Article

  • ISSN: 2349-6002
  • Volume: 11
  • Issue: 4
  • PageNo: 644-649

Impact of Regulatory Changes on Non-Banking Financial Companies' Growth

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