NBFC offers financial services like loans and investments but cannot accept demand deposits; regulated by the RBI.
A Non-Banking Financial Company (NBFC) is a financial institution that offers banking-like services such as loans, credit, asset financing, and investments, but does not hold a banking license and cannot accept demand deposits like savings or current accounts. NBFCs are regulated by the Reserve Bank of India (RBI).
An NBFC IPO refers to the Initial Public Offering of a Non-Banking Financial Company (NBFC). In this process, the NBFC offers its shares to the public for the first time through the stock market to raise capital. These funds are typically used to expand lending operations, strengthen balance sheets, meet RBI-mandated capital adequacy norms, or invest in technology and infrastructure.
Answered on
