Background:

Non-Banking Financial Companies (NBFCs) play an indispensable role in India’s financial sector by driving credit penetration to segments often overlooked by traditional players and enabling financial inclusion. NBFCs operate under unique structural vulnerabilities like wholesale funding, concentration risk and growth pressure.  The liquidity shocks in NBFCs escalate faster and governance breakdowns trigger supervisory intervention The challenge for NBFC/HFCs is to grow with prudence balancing innovation with strong risk management framework and governance. Enhanced usage of new age technology tools for easier access for reducing transaction costs and for leveraging of data has already exposed NBFCs/HFCs to various type of operational risks and cyber risk. Post the transfer of regulation of HFCs from NHB to the Reserve Bank, various regulations have been harmonised with NBFC regulations. The business models need to be adopted with full understanding of the implied risks and governance standards. The Governance and Risk Management in NBFCs/HFCs need to focus on robust board oversight, regulatory compliance by building a culture of compliance.

Objective:

The program will focus on enhancing the understanding of the Board/Senior executives from NBFCs/HFCs to the various risks and governance issues and the recent regulatory developments.

Program Highlights:

• Key regulatory & supervisory issues and expectations
• Need for a robust risk management framework
• Risk Management: Liquidity & Fund Management
• IT Risks and Governance
• Credit Risk Management & ECL
• Data Protection & Data Privacy