The Reserve Bank of India vide Notification No. DNBR (PD) 016/CGM (CDS)-2015 dated 10-4-2015 has amended the Non-Banking Financial (Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 to state that all NBFCs with asset size of Rs.100 crores and above lending against the collateral of listed securities shall maintain a Loan to Value (LTV) ratio of 50% for loans granted against the collateral of shares. Further it is mandated that all shortfalls in the maintenance of the 50% LTV shall be made good within 7 days.
Similar Amendments are also carried out in Non-Systemically Important Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2015.
No comments:
Post a Comment