Non-Performing Assets Norms for NBFCs
- Reserve Bank of India has allowed NBFCs to classify loans to projects, that are stuck for two years, as standard
- For infrastructure projects stuck due to arbitration in courts, a further relaxation of two years has been given. Now, an NBFC can classify a restructured loan as standard if the project to which the loan is given has been delayed for 4 years.
- For infrastructure projects stuck due to reasons beyond the promoter’s control and for non-infrastructure projects, this leeway is only three years.