Read more about RBI extends Risk Based Internal Audit rules to housing finance companies on Business Standard. RBI extends RBIA rules to all deposit taking HFCs and non-deposit taking HFCs with assets above Rs 5,000 cr with effect from June 30, 2022
In February this year, the RBI had issued a circular mandating the RBIA framework for select non-banking financial companies (NBFCs) and urban co-operative banks by March 31, 2022.
In February this year, the RBI had issued a circular mandating the RBIA framework for select non-banking financial companies (NBFCs) and urban co-operative banks by March 31, 2022
An effective RBIA is an audit methodology that links an organisation s overall risk management framework and provides an assurance to the Board of Directors and the senior management on the quality and effectiveness of the organisation s internal controls, risk management and governance-related systems and processes.
Updated Feb 03, 2021 | 16:37 IST
Currently, all the entities supervised by the RBI have their own approaches on internal audit, resulting in certain inconsistencies, risks and gaps in the system, the RBI said RBI unveils risk-based internal audit guidelines for select NBFCs, urban co-op banks | Photo Credit: PTI
New Delhi: The Reserve Bank of India (RBI) on Wednesday unveiled the risk-based internal audit (RBIA) system for select non-bank lenders and urban co-operative banks, with a view to enhance the quality and effectiveness of their internal audit system.
RBI had announced in the ‘Statement on Developmental and Regulatory Policies’ issued as part of the Monetary Policy Statement dated December 4, 2020 that with a view to strengthen the Internal Audit Function, which works as a third line of defence, suitable guidelines will be issued to large UCBs and NBFCs on adoption of Risk-Based Internal Audit (RBIA).