The central bank has raised the repo rate by 250 basis points (bps) since May 2022. This will be the fifth consecutive policy where it will opt for a pause.
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Co-lending deals between non-banking financial companies (NBFCs) and banks are likely to rise after the Reserve Bank of India s (RBI s) decision to increase the risk weight on consumer credit, industry leaders and experts say.
Smaller NBFCs, they add, may increasingly opt for co-lending as capital markets could become costlier for them. Smaller NBFCs will be more comfortable with co-lending because they are geography-specific in terms of industry or customers.