RBI releases draft circular on NBFC liquidity framework
  • WebDesk BTVI
  • May 24 2019

The Reserve Bank of India released a draft circular on liquidity risk management for NBFCs. RBI is trying to introduce a liquidity coverage ratio and states that all NBFCs with an asset size of Rs 5,000 crore and above have to maintain a liquidity buffer as per the liquidity coverage ratio. This new rule will come into effect from April 1, 2020.