BANKING AFFAIRS

Detailed explanation-1: -A minimum of 75 per cent of the total assets of an IFC-NBFC should be deployed in infrastructure loans; The company should have minimum net-worth of Rs 300 crore, The CRAR of of the company should be at 15% with Tier I capital at 10% and.

Detailed explanation-2: -Infrastructure Finance Company (IFC): IFC is a non-banking finance company a) which deploys at least 75 per cent of its total assets in infrastructure loans, b) has a minimum Net Owned Funds of ₹ 300 crore, c) has a minimum credit rating of ‘A ‘or equivalent d) and a CRAR of 15%.

Detailed explanation-3: -A financial asset is a liquid asset that gets its value from a contractual right or ownership claim. Cash, stocks, bonds, mutual funds, and bank deposits are all are examples of financial assets.

Detailed explanation-4: -NBFCs Which Need Not be Registered With RBI Core Investment Companies – (assets are less than 100 crore or public funds not taken) Merchant Banking Companies. Companies that are engaged in the business of stock-broking.

Detailed explanation-5: -The minimum paid up capital requirement of both payments banks and small banks are kept at Rs. 100 crore of which the promoters’ initial minimum contribution will be at least 40 per cent, to be locked in for a period of five years.