Includes optic fibre/cable networks which provide broadband / internet, 5. List of Infrastructure Finance Companies (NBFC-IFCs) registered with RBI (As on July 16, 2020) List of NBFC- Peer to Peer (P2P) registered with RBI (As on July 16, 2020) List of Deposit accepting NBFCs registered with RBI that have been prohibited from accepting deposits under Section 45 MB of RBI Act,1934 (As on September 30, 2019) Includes strategic storage of crude oil, 3. NIIF Infrastructure Finance Limited was incorporated as an Infrastructure Debt Fund (IDF) on March 7, 2014 for financing operating infrastructure projects and carry on the business of IDF under NBFC Format as per RBI Guidelines. Q.5. The current legal status. By: PTI | Mumbai | November 7, 2018 10:44 PM. Their request must be supported by a certificate from their Statutory Auditors confirming the asset pattern of the company as on March 31, of the latest financial year. Ltd. Ans “Infrastructure loan” means a credit facility extended by NBFCs to a borrower for exposure in the following infrastructure sub-sectors: 1. After CEO Dick Costolo, Twitter’s M&A Head Rishi Garg Quits, Gujarat HC Gives Livestreaming Court Proceedings A Shot, Sunil Mehta, Chief Executive of the Indian Banks’ Association, Dilip Asbe, Chief Executive Officer, National Payments Corporation of India, Vishwas Patel, Chairman of Payments Council of India, Shailesh Paul, Vice President and Head Merchant Sales and Solutions, Visa, Rajeev Kumar, Senior Vice President, Market Development, Mastercard, D Nageswara Rao, Chief General Manager, NABARD, R Vittal Raj, Chartered Accountant, Kumar & Raj Chartered Accountants, Ajay Michyari, Regional Director, Reserve Bank of India, Card issuing banks should pay ₹ 1 per debit card and ₹3 per credit card they have issued. Q.2. 2. In a notification to the exchanges, the lender said, RBI has appointed an auditor to conduct a special audit in exercise of its powers under Section 45 MA (3) of the RBI Act, 1934 Ans: Infrastructure Finance Companies can maintain risk weight at 50% for assets covering PPP and post commercial operations date (COD) projects which have completed at least one year of satisfactory commercial operations and which are backed by a buyback guarantee by a designated Project / Statutory authority under a Tripartite Agreement. The minimum credit rating of the company should be at 'A' or equivalent of CRISIL, FITCH, CARE, ICRA, BRICKWORK or equivalent rating by any other accrediting rating agencies. Save my name, email, and website in this browser for the next time I comment. (Photo: Mint) RBI proposes new rules for housing finance companies 2 min read. The Reserve Bank of India has issued a revised set of guidelines for housing finance companies after it took over regulation of these lenders last year. DIRECT HOUSING FINANCE 2.1 Direct Housing Finance refers to the finance provided to individuals or groups of individuals including co-operative societies. Further, exposure of a bank to the NBFCs-IFCs (Infrastructure Finance Companies) should not exceed 15 per cent of its capital funds as per its last audited balance sheet, with a provision to increase it to 20 per cent if the same is on account of funds on-lent by the IFCs to the infrastructure sector. The fund will be used to subsidize banks and non-banks for deploying payment infrastructure. SREI Infrastructure Finance slumped 14.61% to Rs 5.73 after the Reserve Bank of India (RBI) initiated a special audit of the company and its subsidiary. b. ten percent of its owned fund to a single group of parties, (i.e. © Reserve Bank of India. IMPORTANT GUIDELINES ON BANK FINANCE TO NBFC * Bank Finance to NBFC registered with RBI •Banks are permitted to extend need based working capital facilities as well as term loans to all NBFCs registered with RBI and engaged in infrastructure financing, equipment leasing, hire purchase, loan, factoring and investment activities. NBFC-Systemically Important Core Investment Company (CIC-ND-SI) Investment in equity shares, preference shares, debt or loans of group companies. About dividend distribution policy by NBFCs, the RBI said unlike banks, there are no guidelines for distribution of dividend by NBFCs. Your email address will not be published. The PIDF will be operational for three years from 1 January 2021, and may be extended for two more years based on progress. The funds will be collected January 31, 2021. Q.3. Yours faithfully (C.D. Card networks to pay 1 basis point (bps) or, 0.01 paisa per rupee transaction, annually, Card issuing banks to 1 bps and 2 bps or, 0.01 paisa and 0.02 paisa per rupee transaction, for debit and credit cards respectively, on an annual basis, New entrants to the card payment eco-system (card issuer and card network) shall contribute an appropriate amount to the PIDF. Updated: 18 Jun 2020, 12:09 AM IST Gopika Gopakumar. Made in India. But in the wake of the lockdown, digital... MediaNama is the premier source of information and analysis on Technology Policy in India. Guidelines on infrastructure financing Please refer to our Industrial & Export Credit Department's Circular No. Guidelines for Licensing of “Payments Banks” November 27, 2014 I. Preamble The Reserve Bank of India (RBI) issues licences to entities to carry on the business of banking and other businesses in which banking companies may engage, as defined and described in Sections 5 (b) and 6 (1) (a) to (o) of the Banking Regulation Act, 1949, respectively. What is an Infrastructure finance? Investment and Credit Company (Recently, RBI has merged Asset Finance Companies, Investment Companies and Loan Companies into a single category) Infrastructure Debt Fund (IDF-NBFC) Non-Banking Financial Company – Factors (NBFC-Factors) Peer to Peer Lending Marketplace. Ans : IFCs may exceed the concentration of credit norms as provided in paragraph 18 of the aforesaid Directions as under: a. any single borrower by ten per cent of its owned fund, (i.e at 25% of Owned Funds) and, b. any single group of borrowers by fifteen per cent of its owned fund, (i.e. The RBI, which has taken over the regulation of HFCs about a year ago, has come up with a revised regulatory framework for the HFCs. RBI has put in its web site newly proposed guidelines inviting observations from all stakeholders to be received latest by July 15, 2020 by email to feedbackhfc@rbi.org.in related to Housing Finance Companies popularly known as “HFCs”. Ans: The term ‘credit facility’ means a term loan, project loan subscription to bonds/ debentures/ preference shares/ equity shares in a project company acquired as a part of project finance package such that such subscription amounts to be “in the nature of advance” or any other form of long term funded facility provided to a borrower company engaged in developing/ operating and maintaining/ developing, operating and maintaining infrastructure facilities, that is a project in any of the sub-sectors as specified in the definition of infrastructure loan. Scheduled commercial banks in the country would be allowed to … The final guidelines follow a draft issued in June this year and seek to harmonise regulations between non-bank lenders and housing financiers. Best viewed in 1024x768 resolution in IE 5 and above. . Your email address will not be published. In a move aimed to at boost infrastructure financing, especially for the projects in roads and power sector, the Reserve Bank of India (RBI) has eased the norms for treating bank loans as secured finance even in the absence of collaterals.. A lender who has extended only working capital finance for a project may be treated as 'new lender' for taking over a part of the project term loan as required under the guidelines. •Further, exposure of a bank to the NBFCs-IFCs (Infrastructure Finance Companies) should not exceed 15 per cent of its capital funds as per its last audited balance sheet, with a provision to increase it to 20 per cent if the same is on account of funds on-lent by the IFCs to the infrastructure sector. The Reserve Bank of India has decided to assign risk weights for the rated exposures of banks to all non-banking financial companies (NBFC) to facilitate credit flow to the sector that is reeling under liquidity pressure post IL&FS defaults in August.The guidelines will be out by February end. 5 DBOD-MC-Housing Finance - 2014 2. Annual Return on Deposits (Filed annually after closure of financial year and latest by September 30) Regional Office of Department of Non-­ Banking Supervision, RBI where registered office of the company is situated: Form Schedule “A” General Information of the Company (filed annually as early as possible latest by the 30th September) Read more about RBI to conduct special audit of Srei Infrastructure Finance, subsidiary on Business Standard. Investment in shares of a single group of companies cannot exceed 25% of its Owned Funds. It is headed by BP Kanungo, Deputy Governor of the RBI and includes: The RBI says banks should target merchants who are yet to posses any payments acceptance device funds and that the AC will have to devise a transparent mechanism for allocating targets to acquiring banks and non-bank players across segments and locations. NEW DELHI: The Reserve Bank of India's revised regulatory framework for the housing finance companies will help them improve risk management and governance and thus become financially sound to withstand market turbulence, according to experts. The aim of the fund is to add 1 million physical payment acceptance devices and 2 million digital payments devices every year, the RBI says. Relaxing the ECB norms, the RBI today said NBFCs operating as infrastructure finance companies (IFCs) can now avail the overseas borrowings up to 75 per cent of their owned funds without its approval. Company dealing with Infrastructure Finance. The Reserve Bank of India (RBI) has introduced guidelines for the Payments Infrastructure Development Fund (PIDF) scheme, which will subsidise the deployment of payments touch points across Tier-3 to Tier-6 centres and the North-Eastern states. RBI FAQS on Infrastructure Finance Companies (IFCs) TG Team | Fema / RBI - Articles; 20 Mar 2016; 1,627 Views; 0 comment; Infrastructure Finance Companies (IFCs) Q.1. Includes Medical Colleges, Para Medical Training Institutes and Diagnostics Centres. What constitutes ‘credit facility’ under the definition of infrastructure loan? Maximum cost of physical acceptance device to avail subsidy: ₹10,000 (including one-time operating cost upto ₹500), Maximum cost of digital acceptance device to avail subsidy: ₹ 300 (including one-time operating cost upto ₹200), AC should introduce a ‘minimum usage’ criteria set 50 transactions over a period of 90 days, Active status shall be minimum usage for 10 days over the 90-day period, 75% of the subsidy amount will be released on a half-yearly basis, 25% of the balance will be released if the acceptance device is active for 3 out of the 4 quarters of the ensuing year, The claim should be submitted only after making payment to the vendor, Acquiring players cannot claim the subsidy under the PIDF, if it is receiving a subsidy under other merchanisms for deploying payments infrastructure, If less than 75% of the target is achieved or utilised, the acquirer can only seek 90% of eligible subsidy, If 75% to 125% of the target is achieved or utilised, the acquirer can claim 100% of eligible subsidy, If more than 125% of the target is achieved or utilised, the acquirer can only seek 110% of eligible subsidy. 3. 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