Investment companies will have bright prospects, as the equity and corporate bond markets expand, along with economic growth and careful recalibration of bank finance in the wake of Basle III. Regulation – The way forward 29. At present, there are several categories of NBFCs and regulations vary across these NBFCs.
The Committee on Comprehensive Financial Services for Small Businesses and Low Income Households (Chairman: Dr. Nachiket Mor) had recommended merger of various categories of NBFCs, into two viz., NBFCs and Core Investment Companies (CICs) and moving towards activity based regulation. The regulatory framework, put in place in November  6  BIS central bankers’ speeches  2014, is a first step in this direction.