Author: CS Sachin Kotian
Published in: Taxmann
The Reserve Bank of India granting Self-Regulatory Organisation (SRO) status to the Finance Industry Development Council marks an important shift in governance for the Non-Banking Financial Companies sector. This move encourages industry-led oversight while strengthening compliance standards and operational discipline among NBFCs.
As an SRO, FIDC will promote best practices, support adherence to regulatory guidelines, and help implement effective grievance redressal mechanisms within the sector. It will also act as a bridge between NBFCs and the regulator, helping translate regulatory expectations into practical industry standards.
Overall, the initiative aims to enhance transparency, improve risk management, and strengthen the stability of India’s NBFC ecosystem.
