{"id":1752,"date":"2019-07-25T16:29:35","date_gmt":"2019-07-25T16:29:35","guid":{"rendered":"https:\/\/www.ixambee.com\/blog\/?p=1752"},"modified":"2021-04-22T17:01:31","modified_gmt":"2021-04-22T11:31:31","slug":"what-is-nbfc-icc","status":"publish","type":"post","link":"https:\/\/blog.ixambee.com\/what-is-nbfc-icc","title":{"rendered":"Did You Know: What is NBFC-ICC? | RBI Grade B 2019 Question"},"content":{"rendered":"

RBI Grade B exam is one of its kind and you need to prepare rigorously for the exam. However, you also need to understand that RBI Grade B 2019 exam preparation does not mean that you need to mug up all the content available. You need to study hard and study smart for RBI Grade B 2019 exam. To ace your RBI Grade B 2019 exam preparation, ixamBee is back with its next blog, What is NBFC-ICC?<\/strong><\/p>\n

Let\u2019s learn What is NBFC-ICC??<\/strong><\/p>\n

RBI has harmonized the categories of NBFCs so as to categorize them based on the principle of regulation by activity rather than regulation by the entity<\/strong>.<\/p>\n

The re-categorization has been done to provide NBFCs with greater operational flexibility. Following this, three major categories of NBFC viz. Asset Finance Company, Investment Company and Loan Company<\/strong> (which cover 99% of the NBFCs by number) have been merged into a new category of NBFC-Investment and Credit Company (NBFC-ICC)<\/strong><\/p>\n

NBFC-AFC + NBFC-LC + NBFC\u2013IC = NBFC-ICC<\/strong><\/p>\n

RBI defines the new category<\/strong> as<\/p>\n

\u201cInvestment and Credit Company – (NBFC-ICC)” means any company which is a financial institution carrying on as its principal business – asset finance, the providing of finance whether by making loans or advances or otherwise for any activity other than its own and the acquisition of securities; and is not any other category of NBFC as defined by RBI in any of its Master Directions.<\/em><\/p>\n

The harmonization of the categories is part of the effort by RBI to harmonize the NBFC sector which has largely been regulated entity wise as regulations have evolved over a period of time. The Committee on Comprehensive Financial Services for Small Businesses and Low-Income Households (chaired by Dr. Nachiket Mor<\/strong>) and Internal Committee (Chairman: Shri G. Padmanabhan<\/strong>), which submitted their reports in January 2014 and April 2014<\/strong> respectively, had recommended harmonization of the various categories of NBFCs<\/strong> for the first time.<\/p>\n

ixamBee’s RBI Grade B 2019 online course has been formulated by our esteemed faculty, Mr. Chandraprakash Joshi (ex-RBI GR B, MBA-Finance, PhD), Ms. Arunima Sinha (Coach for Banking exams for 6 years, Ex-Manager SIDBI, Ex-Bank PO), Ms. Prachi Agarwal (MBA Finance with over a decade experience) and Ms. Veena.M (B.Sc. Agri, MBA, Content Expert for General Awareness).<\/p>\n

Click here to get FREE demo of RBI Grade B online course<\/strong><\/a><\/p>\n

Few of our next blog topics are as follows:<\/p>\n