RBI Governor Shaktikanta Das calls for stronger governance in NBFCs, HCFs

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RBI said that these entities constitute nearly 50% of the total assets of all NBFCs including HFCs. The meeting was also attended by the Deputy Governors Shri M. Rajeshwar Rao and Shri Swaminathan J.

and the Managing Director, of National Housing Bank (NHB), Shri S. K. Hota, besides a few senior officials of the RBI.

“The Governor in his opening remarks complimented the NBFCs and HFCs for their improved financial health and operational resilience in recent years. While acknowledging the important role played by the sector in delivering credit to the unbanked and underserved areas, the Governor advised that the NBFCs and HFCs need to remain alert to avoid any complacency during good times," a press release said. Shaktikanta Das emphasized the requirement to enhance the levels of governance norms and mechanisms of assurance, specifically focusing on areas like Compliance, Risk management, and Internal audit within these organizations.