Money & Banking

NBFCs seek permission to resume partial operations

Our Bureau Mumbai | Updated on April 10, 2020

NBFCs seek permission to carry out essential operations on the lines of how banks operate   -  REUTERS

FIDC writes letter to Home Secretary

Non-banking finance companies (NBFCs) have sought permission to operate part-time during the lockdown.

The Finance Industry Development Council (FIDC), a representative body of NBFCs, has written to Home Secretary Ajay Bhalla for permission to carry out essential operations on the lines of how banks operate.

“…it is necessary that certain essential staff may be permitted to carry out the essential operations, in small number and at staggered timings while following social distancing,” FIDC has said in the letter.

Noting that the government has exempted banks, insurance companies, stock markets and mutual funds from closure of offices, FIDC has said that NBFCs are the only part of the financial sector that have been left out.

“It is necessary that essential staff may be required to be physically present in the branch offices and they cannot work from home, for the collections, depositing cash in banks,” it has pointed out, adding that at least 30 per cent of the staff of NBFCs can be permitted to work on a rotation basis.

Published on April 10, 2020

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