RBI eases liquidity norms for banks

New Delhi [India], Oct nineteen (FA9NEWS): The banking concern of Asian nation (RBI) on weekday augmented lenders’ single receiver exposure limit for Non-Banking money firms (NBFCs) that don’t finance infrastructure, to fifteen per cent of capital funds. the only receiver exposure limit has been augmented from ten per cent of capital funds and is effective up to day, 2018. The run has conjointly relaxed liquidity norms. With immediate result, banks are going to be allowable to conjointly reckon Government securities control by them up to associate degree quantity capable their progressive outstanding credit to NBFCs and Housing Finance firms (HFCs), over and higher than the number of credit to NBFCs and HFCs outstanding in their books as on October nineteen, 2018. Liquidity coverage magnitude relation refers to extremely assets that money establishments have to be compelled to hold so as to satisfy short-run obligations. (FA9NEWS)

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