RBI Cracks Down on Four NBFCs Amid Scrutiny

• RBI has ordered four NBFCs to halt new loan sanctions and disbursements from October 21, 2024.
• Morgan Stanley report suggests more lending companies might face similar scrutiny.
• Asirvad Microfinance's lending rates are not significantly different from other lenders, raising questions about broader issues.
• RBI aims to enforce strict regulatory compliance and protect borrowers from unfair practices.
• Governor Shaktikanta Das warns NBFCs against incentivizing loan targets, emphasizing self-correction.

Source: Hindustan Times, The Economic Times