1  Mid-term Review of Macro Economic and Monetary Developments: 2004–05: Internationally, acceptance of public deposits is restricted to banks, and non-banks including NBFCs raise resources from institutional sources or by accessing capital market. NBFCs are encouraged to move in this direction in line with international practices.
The Reserve Bank will be holding discussions with NBFCs in regard to their plan of action for voluntarily phasing out of their acceptance of public deposits and regulations on banks’ lending to NBFCs will be reviewed by RBI as appropriate. 2  A commonly accepted measure of concentration.