Banks’ Lending to NBFCs in India

Banks’ Lending to NBFCs in India

What does it tell us?

Banks’ Lending to NBFCs in India

  • Amongst scheduled commercial banks, public sector banks (PSBs) remained dominant lenders to NBFCs, although private sector banks expanded lending to NBFCs in 2020-21
  • Overall bank exposure to NBFCs grew as their investment in NBFCs’ debentures increased on the back of COVID-19-related schemes.

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