Financial Daily from THE HINDU group of publications
Saturday, Nov 20, 2004
Financial Daily from THE HINDU group of publications Saturday, Nov 20, 2004 |
|
|
|
|
|
Money & Banking
-
RBI & Other Central Banks Banks can extend finance to purchase second-hand assets Our Bureau
Mumbai , Nov. 19 THE Reserve Bank of India said today that banks may extend finance to Non-Banking Finance Companies against second-hand assets financed by them. Banks will also be allowed to extend financial assistance to customers directly for purchase of second-hand assets, the apex bank said in a notification to commercial banks. Policies may be formulated by banks through approval of their Board of Directors to formulate suitable loan policies to finance second-hand assets, both directly and through NBFCs, RBI has said. In the mid term review of RBI's annual policy statement it was proposed that banks may extend such finance to NBFCs. The statement had said, "In view of the expertise gained by NBFCs in financing second hand assets and to encourage credit dispensation, it is proposed that banks may henceforth, extend finance to NBFCs against second hand assets financed by them, provided suitable loan policies duly approved by the bank's boards are put in place."
More Stories on : RBI & Other Central Banks | NBFCs | Credit Market
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2004, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|