It was a privilege to connect with industry colleagues Rajiv Sabharwal, Vishakha Mulye, Jairam Sridharan and Vivek Kumar Dewangan at the Business Standard BFSI Insight Summit. The conversations revolved around the growth of the NBFC space and their relationship with banks. While several points of view were aired in the discussions, I wanted to share my thoughts on the industry’s evolution, their relationship with banks, and the current regulatory climate. I firmly believe that banks and NBFCs will function together in a synergistic relationship where each sector leverages its unique strengths to drive financial inclusion. Here are some reasons why: - NBFCs continue to reach underserved regions, especially in segments like commercial vehicle financing and gold loans, where we’re seeing robust growth. - Banks may be cautious in lending to NBFCs, but they haven’t pulled back their support. With balanced collaboration, we can make financial services more accessible to all. - However, we must remain mindful, as changing regulations can impact both lenders and customers. We need to be responsible financial services providers and continuously work on improving service to the customer As we navigate these shifts, I look forward to collaborating with my colleagues across the NBFC and banking sectors to shape a resilient, inclusive, and innovative financial ecosystem.
Pratap Singh
1mo
Dear Umesh Revankar your deep understanding of NBFCs and their impact at the grassroots level, especially for those at the bottom of the pyramid, is exceptional. With ~4 decades of experience, your insights are invaluable and resonate deeply. I also want to acknowledge the contributions of senior leaders and ex colleagues Rajiv Sabharwal and Vishakha, whose leadership continues to drive the industry forward. #NBFCs #digitallending #banks #BFSI
Raj Mehta
1mo
In gold loan & vehicle financing: The local financier in T3/rural have more RoI with unorganised way of deductions in disbursement inwhich the NBFCs are having a great opportunity to identify such markets. The NBFCs are becoming first approach from rural market as before they use to get loan from local Lala shop. #kudos to your vision of making it more efficient and seamless 💫🌎. Your action proves : the change is only constant !
NBFCs and Banks are like two banks of a river both are needed for their own qualities which they offer..While banks have some regulations which binds them to serve and reach every household....NBFC fills the space left by the banks .... inculcating modern technologies in credit domain can only helf whole BFSI sector at large to achieve more highs....and at the same time AI and data driven solutions can help curtail Risk associated with lending business
Ashish Vyas
1mo
Thank you Umesh Revankar Sir for sharing these insights. It was inspiring to witness the depth of all leaders’ perspective on the evolving dynamics at the BFSI Insight Summit. The future of the industry is indeed promising with such a synergistic approach.
Praveen Nagpal
1mo
Umesh ji ..very rightly thought shared ..fully agree 👍
Ashraful Hussain
1mo
Great view shared by our respected Executive Vice Chairman Sir,I appreciate and feeling proud to be a part of great Shriram Family ..
Nice insight sir
NARESH TYAGI
1mo
Amazing
Umesh Revankar Sir , Absolutely agree with your point of view !
Secured, Unsecured, MSME & JLG loans, Mortgages, Distribution, Business Correspondents (BC), Risk & Underwriting, Collections & Recoveries.
1moAbsolutely Umesh, NBFC has far deeper reach. Reminds me the quote from Industry stalwart "Landing is not for cowboys", but no one can stop them, this mindset of growth at any cost... disturbs the entire echo system creating ripples for a very long time. Having said another view to it is, that such disturbances gives others time to pause, rethink, take corrective & move on. The synergy between Banks & NBFC will continue, each such disturbance brings some thing good out.