The Reserve Bank of India issues regulatory guidance on Ind AS for NBFCs and ARCs
The Reserve Bank of India issues regulatory guidance
Large Non-Banking Financial Companies (NBFCs) and Asset Reconstruction Companies (ARCs) reported their first Ind AS financial statements for the financial year ended 31 March 2019.
Large Non-Banking Financial Companies (NBFCs) and Asset Reconstruction Companies (ARCs) reported their first Ind AS financial statements for the financial year ended 31 March 2019. The Ind AS implementation has affected various regulatory provisions applicable to NBFCs and ARCs. Therefore, the Reserve Bank of India (RBI) expects a high quality implementation of Ind AS which requires detailed analysis and application of judgement and detailed documentation to support judgements.
Considering the impact of Ind AS on the regulatory provisions, on 13 March 2020, RBI issued a notification providing regulatory guidance on Ind AS (RBI guidelines). These guidelines aim to promote high quality and consistent implementation of Ind AS (pertaining to specific prudential aspects), and to facilitate comparison and better supervision. The RBI guidelines are applicable to NBFCs and ARCs for preparing their financial statements for financial years 2019-20 and onwards.
This issue of First Notes aim to provide an overview of the RBI guidelines
To access the text of the RBI circular, please click here.
© 2022 KPMG Assurance and Consulting Services LLP, an Indian Limited Liability Partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
KPMG (Registered) (a partnership firm with Registration No. BA- 62445) converted into KPMG Assurance and Consulting Services LLP (a Limited Liability partnership firm) with LLP Registration No. AAT-0367 with effect from July 23, 2020.
For more detail about the structure of the KPMG global organization please visit https://home.kpmg/governance.