Question

The Reserve Bank of India (RB

  • I has permitted non-banking finance companies operating as Infrastructure Debt Fund (IDF-NBFCs) to raise money through external commercial borrowings (ECBs). Which of the following statements is/are correct with respect to the information provided above ? I. These  external commercial borrowings will be subject to a minimum tenor of five years, and IDF-NBFCs are prohibited from sourcing the ECB loans from the foreign branches of Indian banks, as stated by the RBI in communication to the companies. II.An IDF-NBFC shall be required to have an NOF of at least ₹300 crore and capital-to-risk weighted assets ratio (CRA
  • M of about Rs 36,000 crore.
  • R of minimum 15 per cent (with minimum Tier 1 capital of 10 per cent). III.The exposure limits for IDF-NBFCs shall be 40% of their Tier 1 capital for single borrower/ party and 50% of their Tier 1 capital for a single group of borrowers/ parties. IV.Currently, there are three active IDF-NBFCs: NIIF Infrastructure Finance Ltd, India Infradebt Ltd, and Kotak Infrastructure Debt Fund, with combined assets under management (AU
A Only I & IV
B Only I, II & IV
C Only II & III
D Only I,III & IV
E None of these
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