RbiSearchHeader

Press escape key to go back

Past Searches

Theme
Theme
Text Size
Text Size
S1

Press Releases Marquee

RBI Announcements
RBI Announcements

RbiAnnouncementWeb

RBI Announcements
RBI Announcements

Asset Publisher

81630845

RBI allows Non-Deposit taking NBFCs to raise Short Term Foreign Funds with Prior Approval

The Reserve Bank recently allowed Systemically Important Non-Deposit taking Non-Banking Financial Companies (NBFCs-ND-SI) to raise funds by issuing Perpetual Debt Instruments that can be included in their Tier 1 capital. It has now been decided as a temporary measure, to permit NBFCs-ND-SI to raise short- term foreign currency borrowings, under the approval route, subject to the following conditions.

i) Eligibility:  NBFCs-NDSI, complying with the prudential norms on capital adequacy and exposure norms.

ii) Eligible lenders:   Multilateral or bilateral financial institutions, reputable regional financial institutions, international banks and foreign equity holders with minimum direct equity holdings of 25 per cent.

iii) End-use: The resources should be used only for refinancing of short-term liabilities and no fresh assets should be booked out of the resources.

iv) Maturity: The maturity of the borrowing should not exceed three years.

v) Amount: The maximum amount should not exceed 50 per cent of the Net Owned Funds (NOF)  or USD 10 million (or its equivalent), whichever is higher.

vi) All-in-cost ceiling: The all-in-cost ceiling should not exceed 6 months Libor + 200 bps (for the respective currency of borrowing or applicable benchmark).

vii) The borrowings should be fully swapped into Rupees for the entire maturity.

NBFC- ND-SIs proposing to avail of the facility should apply to the Chief General Manager –in- Charge, Department of Non Banking Supervision (DNBS), Reserve Bank of India, Central Office, Centre 1,  World Trade Centre, Cuffe Parade, Colaba, Mumbai - 400005 with full details for the necessary approval.


  Alpana Killawala
Chief General Manager

Press Release : 2008-2009/602

RbiTtsCommonUtility

प्ले हो रहा है
ਸੁਣੋ

Related Assets

RBI-Install-RBI-Content-Global

RbiSocialMediaUtility

ਭਾਰਤੀ ਰਿਜ਼ਰਵ ਬੈਂਕ ਮੋਬਾਈਲ ਐਪਲੀਕੇਸ਼ਨ ਇੰਸਟਾਲ ਕਰੋ ਅਤੇ ਨਵੀਨਤਮ ਖਬਰਾਂ ਤੱਕ ਤੇਜ਼ ਐਕਸੈਸ ਪ੍ਰਾਪਤ ਕਰੋ!

Scan Your QR code to Install our app

RbiWasItHelpfulUtility

ਕੀ ਇਹ ਪੇਜ ਲਾਭਦਾਇਕ ਸੀ?