The Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs) play a very important role in the Indian Financial System by catering to diverse financial needs of a wide variety of customers, both in urban and rural areas. The NBFCs and HFCs play a complementary role to the banks as well as provide them competition. The balance sheet size of the NBFCs is around 16% of the combined balance sheet of the Scheduled Commercial Banks. Even as the importance of NBFCs in credit intermediation is growing, recent developments in the domestic financial markets have brought the focus on the NBFC and HFC sector especially with regard to their exposures, quality of assets and asset-liability mismatches (ALM). The debt default by a large NBFC in mid-2018 highlighted the vulnerability and need for strengthening regulatory framework and supervisory oversight on the NBFC and HFC sector. The NBFC and HFC sector needs to put in place sound risk governance and robust frameworks for asset liability management (ALM) and liquidity risk management.
The Program will focus on the recent developments in the NBFC and HFC sector, the lessons to be drawn for risk management and governance, implementation of recent regulations and implications for business strategy going forward.
The Program will focus on practical implementation issues. Expert speakers will cover the following topics in detail:
• RBI Guidelines for Risk Management in NBFCs, especially Liquidity Risk
• NHB’s Recent Regulation for Housing Finance Companies
• Risk and Business Strategy: The Way Forward for NBFCs and HFCs
• RBI’s Supervisory Expectations
• Financial Stability, Stress Tests and Resilience of the NBFC Sector
• KYC/AML Guidelines
• ALM / Risk Management