RBI’s focus on growth, new framework will strengthen the sector

RBI’s focus is on increasing the growth of the country and the new framework for NBFCs will strengthen the sector. This statement was given by Rajesh Sharma of Kapri Global Capital. Talking to news agency IANS, Kapri Global Capital Limited MD Rajesh Sharma said that RBI’s framework always brings clarity. It is always good for the central bank to come up with such a framework and it strengthens the sector.

He further said that RBI always focuses on increasing the growth of the country. This framework will strengthen growth and improve compliance.

After the announcement of the RBI MPC decisions on Wednesday, Governor Sanjay Malhotra had said that the central bank is working on the classification of NBFCs and it will be announced soon.

Malhotra said that under the new framework, NBFCs will be divided into high-end, mid-end and other categories.

On RBI’s instructions on gold loan, Sharma said that instructions have been given to give loan on the basis of income assessment, giving more loan to priority sectors and repayment and its objective is to give loan at low interest rate easily to the common man, so that he can avoid taking high interest loan from moneylenders.

On MSME, Sharma said that small and medium enterprises (SMEs) contribute about 37 percent to our exports. Generate maximum employment. For this reason, the government also has a lot of focus on this sector.

He further said that the loans given to small industries directly contribute to the growth of the country. The share of SMEs in our assets under management (AUM) is 20 per cent and we feel as if we have shown a growth of 16-18 per cent over the years. Due to SMEs, we will register similar growth in the coming times also.