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      Question

      For a standard Upper Layer NBFC (other than an

      Infrastructure Finance Company), what is the baseline exposure limit on a single counterparty?
      A Up to 10% of the eligible capital base Correct Answer Incorrect Answer
      B Up to 15% of the eligible capital base Correct Answer Incorrect Answer
      C Up to 20% of the eligible capital base Correct Answer Incorrect Answer
      D Up to 25% of the eligible capital base Correct Answer Incorrect Answer
      E Up to 35% of the eligible capital base Correct Answer Incorrect Answer

      Solution

      The foundational single counterparty exposure limit for a standard Upper Layer financial entity (excluding specialized infrastructure financing companies) is capped at a baseline of 20% of its eligible capital base.

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