Non bank lender stocks surge after RBI policy announcement and relaxed norms boost sector
Mumbai: Shares of non-bank lenders and small finance institutions rallied on Mon after the RBI announced regulatory easing on Jun 6. The central bank's decision to lower risk weights on certain retail loans and offer liquidity support lifted sentiment across the sector, pushing several stocks to sharp gains.
Capri Global rose 19.5% to close at Rs.181.6, leading the pack. Five Star gained 9.5% to Rs.800.6, JM Financial advanced 8.9% to Rs.155.2, and IIFL climbed 8.1% to Rs.487.4. while Edelweiss rose 7.3% to Rs.113.4, and Fedfina rose 7.1% to Rs.111.2.
Manappuram increased 6.9% to Rs.264.8, SMC Global rose 6.9% to Rs.126, and Jana Small Finance Bank gained 6.7% to Rs.519.7. Geojit climbed 6.1% to Rs.91.1, Fusion rose 6% to Rs.182.3, and Muthoot Microfin advanced 4.9% to Rs.134.6, while IREDA closed 4.8% higher at Rs.183.3.
The RBI also relaxed asset norms for microfinance lenders and small finance banks. NBFC-MFIs can now allocate up to 40% of their portfolio outside traditional microloans, which is expected to reduce concentration risk and strengthen balance sheets. For small finance banks, lower risk weights on microfinance exposures are likely to ease capital requirements and boost lending capacity.
According to analysts, these changes, along with a supportive macro backdrop, are set to aid credit growth and financial inclusion, especially in underserved areas.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Eat 1 Teaspoon Every Night, See What Happens A Week Later [Video]
getfittoday
Undo
Umesh Revankar, executive vice chairman of Shriram Finance, said the measures open new momentum for credit expansion in tier 2 and 3 towns.
A research note by Emkay Global said the RBI had adjusted its gold loan norms after recognising operational challenges. It added that this reflected the regulator's intent to reduce friction in the lending ability of banks and NBFCs.
Vivek Singh, CEO of Home Credit India, acknowledged the RBI's recognition of improving trends in unsecured personal loans.
He said this, along with ongoing recalibration efforts, strengthens the industry's commitment to robust underwriting and collections. 'It supports a healthier credit environment and India's growth,' he added.
Meanwhile, George Alexander Muthoot, MD of Muthoot Finance, described the policy shift as encouraging for NBFCs. He noted that the move creates a more favourable environment by lowering borrowing costs and enabling greater access to affordable credit in underserved areas. 'Coupled with a lowered inflation outlook,' he said, 'this is likely to support domestic consumption and stimulate credit demand in the coming quarters.
' Muthoot further commented that the RBI's steps represent 'a timely and positive intervention that can support a stronger credit cycle in FY26.'
Stay informed with the latest
business
news, updates on
bank holidays
and
public holidays
.
AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
19 minutes ago
- Time of India
Gemini Daily Horoscope Today, June 12, 2025: Let joy be your compass today
Today reminds you to follow what lifts your spirit. Joy is not selfish—it is a signpost guiding you toward the life you are meant to live. The stars support spontaneous decisions, creative thinking, and laughter that comes from deep inside. Don't let heavy thoughts stop you from enjoying the present. Make space for happiness, even if it's small. A colourful moment, a light chat, or a new idea could change your mood entirely. Where joy leads, life blooms more fully. Gemini Love Horoscope Today Love feels lighter when you stop trying to make it serious all the time. If you're in a relationship, do something fun together—share stories, dance in the kitchen, laugh without reason. If you're single, let go of overthinking who's right or wrong. Enjoy getting to know someone new without planning everything. Love is more real when it grows from shared joy. Today, let your heart play a little. That lightness will naturally attract someone who sees your glow. Gemini Career Horoscope Today In your career, the more you enjoy your work, the more success flows. Let curiosity guide your tasks today. Ask questions, try different methods, or bring colour to your space. Your energy will lift the whole environment. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Simple. Clean. Solitaire Play Solitaire Download Undo Avoid taking on too much at once. Small wins bring motivation. If you've been thinking of a creative project, now is a great time to start. Let joy be your guide, not just deadlines. Gemini Money Horoscope Today With finances, don't let fear control your choices. Instead, think about what brings lasting happiness. It's okay to treat yourself, but only when it adds value, not just momentary relief. Be wise and cheerful while spending. You may also find a joyful way to earn—maybe a hobby that brings money. Money should support your joy, not replace it. Save where needed, but let your heart have a say too. Gemini Health Horoscope Today Your health improves naturally when your mood is bright. You may feel more active today, so use this energy well. Go for a walk, dance, or play something. If you're feeling mentally stuck, try laughter therapy or uplifting music. Avoid too much processed food—it may lower your energy. A fruit-filled snack or a colourful plate can lift your body and mood. Emotional health matters as much as physical. When joy leads, your whole body responds with lightness and strength. Discover everything about astrology at the Times of India , including daily horoscopes for Aries , Taurus , Gemini , Cancer , Leo , Virgo , Libra , Scorpio , Sagittarius , Capricorn , Aquarius , and Pisces .
Time of India
21 minutes ago
- Time of India
Ranchi vendor markets sinking under choked drains, unhygienic surroundings, & poor infra
1 2 Ranchi: The city's main vendor markets, especially Naga Baba Khatal and Kokar, are characterised by choked drains, unhygienic surroundings, and poor infrastructure. These public spaces remain on the margins of municipal attention in spite of being important areas in a civilised society. A vendor at Rs 10.86-crore valued Naga Baba Khatal Vendor Market, Rekha Devi, said, "Overflowing drains, stagnant water, and heaps of rotting vegetables have turned the area unbearable. Even a small shower turns this place into a filthy swamp. The stink is terrible. Customers avoid coming here." Echoing the statement, customer Neha Kumari said, "The area lacks drainage system. We have to walk in muck mixed with vegetable waste. Toilets are barely usable, especially for women." At Kokar Vendor Market, vendors operate beside garbage piles and blocked drains. "The waste isn't picked up regularly, turning into heaps and lying scattered with rainwater," said Imran, a fruit seller. The Atal Vendor Market, built at a cost of Rs 54 crore with 478 shops, is structurally better but overcrowded. Vendors and customers struggle to navigate narrow congested passages. "There's no space to walk during rush hours, especially when shopkeepers display goods outside their stalls," said Arun Kumar, a vendor. Though these markets were constructed to decongest roads and fight encroachments, their neglected condition is forcing vendors back onto roads and footpaths. "The markets helped control encroachment to some extent. However, the vendors prefer doing their business from the roadside, where footfall is higher and conditions are manageable," said Shabnam Ansari, a vendor at Naga Baba Market. Assistant municipal commissioner Nikesh Kumar said, "Each market has four to five cleaning staff. Restoration files have been submitted to the authorities. Upgradation of infrastructure would begin based on approval." "For hundreds of vendors and thousands of customers, restoring hygiene and functionality in these markets isn't about comfortbut survival," said Ritu Sinha, another customer at the Atal Vendor Market.
Time of India
21 minutes ago
- Time of India
After SC order, MMRDA seeks price bids from L&T on projects
Mumbai: Nearly two weeks after MMRDA informed Supreme Court that it had "in public interest" scrapped its tenders for the Thane-Ghodbunder-Bhayander twin tunnel and elevated road projects—collectively estimated at Rs 14,000 crore—the planning authority has sought detailed financial estimates from infrastructure giant Larsen & Toubro (L&T). Tired of too many ads? go ad free now The projects include an underground road tunnel from Gaimukh to Fountain Hotel Junction on Ghodbunder Road and an elevated road from Fountain Hotel Junction to Bhayander. Sources said MMRDA sent a letter on June 10 asking L&T to submit detailed financial estimates/price bids, rate analysis and justification and related documents in seven working days "to ensure completeness of the bid records" and "further transparency and public interest". The tender process for the projects had landed in court after MMRDA disqualified L&T from the technical bids round by declaring it non-responsive, saying it had failed to submit a mandatory affidavit. The affidavit required bidders to declare that none of their bridges had collapsed within two years of completion. Megha Engineering and Infrastructure, a prominent purchaser of electoral bonds prior to being scrapped by the apex court, was declared the successful bidder. L&T then moved Bombay HC, alleging lack of clarity over the rejection and the decision not to open its financial bids. HC granted a temporary stay on the opening of price bids on May 13 but dismissed L&T's petitions on May 20, observing "material suppression" by the company. The court upheld MMRDA's tendering process. L&T approached SC, which expressed surprise that technical bids of a firm that had built Central Vista and Atal Setu had been rejected. Tired of too many ads? go ad free now The company disclosed during the proceedings that its quoted prices were significantly lower—Rs 6,498 crore for the tunnel and Rs 5,554 crore for the elevated road. SC was informed that the difference was over Rs 3,100 crore between the lowest bidder and L&T. The bench asked MMRDA how L&T could be technically disqualified from the projects in that case and directed it to check with the state govt if it was willing to re-tender the projects. SC disposed of L&T's petition after MMRDA agreed to re-tender the projects. MMRDA has since maintained that both SC and HC had upheld its submission, but that in deference to the courts and in line with its institutional commitment to transparency, it was decided that both tenders would be scrapped and a fresh tender process would be initiated. In its June 10 letter, it said it had decided to voluntarily scrap the tenders and revise cost estimates in the "spirit of transparency and larger public interest. "
