Why the RBI Warns NBFCs Against Aggressive Growth

RBI urged NBFCs to focus on sustainable business growth and avoid "growth-at-any-cost" strategies

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Lack of proper risk management in some NBFCs pursuing aggressive growth poses systemic financial risks

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RBI criticized high interest rates and unreasonable processing fees, stressing fair treatment of customers

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Target-driven incentive structures in NBFCs are fostering poor work culture and affecting service quality

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Reckless growth strategies can erode trust in the financial system, threatening credit quality and financial inclusion

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Why the RBI Warns NBFCs Against Aggressive Growth

RBI urged NBFCs to focus on sustainable business growth and avoid "growth-at-any-cost" strategies

Lack of proper risk management in some NBFCs pursuing aggressive growth poses systemic financial risks

RBI criticized high interest rates and unreasonable processing fees, stressing fair treatment of customers

Target-driven incentive structures in NBFCs are fostering poor work culture and affecting service quality

Reckless growth strategies can erode trust in the financial system, threatening credit quality and financial inclusion

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