NBFCs and Microfinance institutions are small sizes financial institutions compared to the scheduled banks. NBFCs are regulated by the provisions of the RBI Act and are registered as a company under the Companies Act. But the MFIs are termed as a self-regulating body. There are some other fundamental differences between NBFCs and Microfinance institutions. Let’s understand them in the following sections.

Understanding NBFCs



Non-Banking Financial Company refers to companies…

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