Outlook for Non-Banks and Housing Financiers Shifts to "Improving" From "Stable"

Source: Business Line

India Ratings and Research (Ind-Ra) has changed the outlook for retail non-banking finance companies (NBFCs) and housing finance companies (HFCs) to “improving” from “stable” for the second half (2H) of FY22.

The credit rating agency opined that adequate system liquidity (because of regulatory measures), along with sufficient capital buffers, stable margins due to low funding cost and on-balance sheet provisioning buffers, provides enough cushion to navigate the challenges from a subdued operating environment.