Repo rate transmission to NBFCs remains slow
after close1 source ↓written by the desknot a recommendation
- of cumulative policy
- 50%
- for some lenders
- 12 months
Transmission of repo rate changes to non-banking financial companies (NBFCs) remains gradual, with only 50% of cumulative policy rate changes reflected so far. Larger, well-rated NBFCs are benefiting faster by accessing bond markets, while full transmission may take up to 12 months for some lenders. This uneven pace highlights ongoing challenges in the sector.
Not investment advice. For informational purposes only.