JAIIB | IE AND IFS | CASE STUDY ON TYPES OF NBFC

Join us at Learning Sessions for JAIIB courses designed to empower you with knowledge on the Indian Financial System (IFS)and the regulatory frameworks shaping Indian Economy (IE). This article explores the case study on different categories of NBFCs with a focus on JAIIB preparation.

DOWNLOAD PDF TYPES OF NBFC -CASE STUDY

NBFCs are financial institutions that provide similar services as banks but operate without a banking license. The RBI classifies NBFCs based on their activities, liabilities, and systemic importance. Let’s examine the various types of NBFCs in India.

-Asset Finance Company (AFC): An AFC is a type of NBFC that finances physical assets that support productive activities.

-Investment Company (IC): An IC primarily deals in securities.

-Loan Company (LC): LCs are NBFCs engaged in providing loans to individuals or entities. 

-Infrastructure Finance Company (IFC): An IFC is an NBFC specializing in long-term funding for infrastructure projects.

-Housing Finance Company (HFC): HFCs focus on providing home loans to individuals and developers.

-Microfinance Institutions (MFIs): MFIs are NBFCs that provide small loans, typically to low-income individuals or groups in rural areas.

-NBFC-Factor: NBFC-Factors specialize in factoring services, which involve purchasing the receivables of companies at a discount and offering them liquidity.

-NBFC-Core Investment Company (CIC): A CIC holds equity shares or investments in other companies. 

-NBFC-Non-Operative Financial Holding Company (NOFHC): NOFHCs are a special type of NBFC created as holding companies for promoter groups that set up new banks.

For the extensive preparation of candidates, get details through our YouTube videos for JAIIB IE & IFS Module wise Syllabus with explanations and tips to help candidates in their preparation journey.

You may also like these JAIIB case studies:

JAIIB | IE & IFS | DOMESTIC COMMERCIAL BANK

JAIIB | IE & IFS | FOREIGN BANK WITH 20 BRANCHES AND ABOVE

To conclude, NBFCs, with their wide range of services, are a keystone of India’s financial ecosystem. Mastery of these approaches will provide future banking professionals with the knowledge and skills significant to navigate India’s evolving financial landscape. Learning Sessions provides additional information about JAIIB IE & IFS PLANNING COMMISSION AND NITI AAYOG by giving examples of real life scenarios.

Learn more about this case study through our YouTube channel and PDF.

Get access to our Telegram Channel for free Pdfs of JAIIB.

You May also Find these JAIIB Posts Useful

NON-BANKING FINANCIAL COMPANIES (NBFC) 

COMPONENTS OF FINANCIAL SYSTEM

FINANCIAL SYSTEM

EXPORT-IMPORT (EXIM) BANK OF INDIA