Debasis Mohapatra
Bengaluru, 11 April 2026
The Reserve Bank of India has proposed to make changes to its existing methodology for identifying upper-layer non-banking financial companies (NBFC-UL).
In a notification on Friday, the central bank has come out with the proposed norms which if approved will categorise an entity as NBFC-UL if the absolute asset size is Rs 1 lakh crore or more.
“With a view to adopting a transparent, simple and absolute criterion for identification of NBFC-UL, it is proposed to replace the existing methodology with an asset-size criterion, which is currently proposed at Rs 1,00,000 crore and above,” the RBI said in a notification.
The central bank norm proposed to evaluate NBFCs on a complex parametric scoring model.
According to the draft regulation, RBI will evaluate these norms after 5 years.
