News > RBI increases risk weights on consumer credit exposure of banks, NBFCs
RBI increases risk weights on consumer credit exposure of banks, NBFCs
16/11/2023 10:20 PM | Click to read full article
A day after barring Bajaj Finance Ltd. from sanctioning and disbursing loans under its two lending products ‘eCOM’ and ‘Insta EMI Card’ with immediate effect, the Reserve Bank of India (RBI), which has been red flagging the rising unsecured loan books of certain Regulated Entities (REs), issued regulatory measures towards consumer credit and bank credit to Non Banking Financial Companies (NBFCs) increasing risk weights by an additional 25 percentage points to 125%.
