For the god health of NBFC sector

As NBFC plays an important role in Indian financial sector RBI as taken right step in tightening the provisioning and capital adequacy guidelines of players in this sector. The new regulation may be little uncomfortable for the players in the short run but will help in strengthening the sector in long run

 The NPA provisioning norms is being changed from earlier 180+ days to 90+ Days which will lead to more provisioning in the next few year ( Till 31^st March 2018 by which this will be fully operational )

The Tier I capital adequacy norm has also been stipulated at 10% for larger NBFC ( By 31^st March 2018 )  as against the present 7.5% .