The objective is to build a suitable institutional infrastructure which will not only enable an efficient  BIS central bankers’ speeches  5  and cost effective factoring / reverse factoring process to be put in place, but also ensure sufficient liquidity is created for all stakeholders through an active secondary market for the same.
Role of NBFCs in vehicle financing / second hand vehicle financing 31. Talking about the niche sectors that NBFCs cater to, vehicle financing especially second hand vehicles need special mention. Certain NBFCs that are classified as Asset Finance Companies have gained expertise in this segment and play a significant role in providing a livelihood to customers who are drivers.