NBFCs are playing a phenomenal role in the Indian economy by providing excellent funding sources. Over the last few years, the NBFC has made incredible progress. NBFCs focus on industries like infrastructure, micro, small, and medium-sized businesses, ensuring reliable financial stability. However, Do NBFCs ensure financial reliability?
Borrowers frequently use NBFCs instead of banks because they are more efficient at meeting financial needs. As a result, NBFCs emerged as a viable alternative to traditional banking. Even though the year 2019 brought several challenges for the sector, it was clear that there is an urgent need to focus on the positives. They are considering the future of NBFCs in India, concerning—the goal of reaching a $5 trillion economy by 2024.
Newly formed NBFCs are employing cutting-edge technology, which will lead to a brighter future for NBFCs. Artificial intelligence and machine learning technologies have prepared lenders to evaluate customer perceptions and maintain alternative credit scoring models. NBFCs are adopting a technology-driven business model that reduces reliance on manual tasks—towards a brighter future.
NBFCs have contributed considerably to the economy with great scope shortly. They outsmart the banks and have a great potential to reach the borrowers, which is sure to change the banking value chain.
With the emergence of small finance banks, many of them would encourage NBFCs, which will pave the way to create an extensive financial base for its customers. The government extends its support to NBFCs in building a substantial base for lending activities.
Focused on such fundamentals, Insights Success brings you its edition featuring ‘The Most Valuable Non-Banking Financial Companies,' embracing the journey of these companies with the profound expertise that is enabling innovations in the NBFC niche.
