The Reserve Bank of India (RBI) is preparing to release an updated list of upper-layer non-banking financial companies (NBFCs) in the near future.
According to sources cited by NDTV Profit, the revised list is expected to remain largely unchanged, though it may include a few additional government-backed NBFCs under the classification framework.
Currently, the central bank has yet to reach a final decision on Tata Sons’ request to be removed from the upper-layer NBFC category. The report indicates that Tata Sons is expected to stay on the list for now, even though it has applied for declassification. A formal announcement is anticipated shortly, according to recent regulatory updates.
Previous regulatory guidelines issued by the RBI stipulate that NBFCs with a loan portfolio of more than ₹1 lakh crore must be categorized in the upper layer. The framework also permits the inclusion of large government-owned NBFCs in this category.
Once an NBFC is placed in the upper layer list, it becomes subject to stricter regulatory oversight and is required to be listed on stock exchanges within three years.
Tata Sons had applied for cancellation of its NBFC-CIC registration in March 2024, reportedly to avoid the mandatory listing requirement.
However, the RBI had earlier included Tata Sons in the upper-layer NBFC category in September 2022, which triggered the expectation that the company would need to comply with listing rules by September 2025.
RBI Governor Sanjay Malhotra recently mentioned that the revised list of upper-layer NBFCs will be published "soon," indicating that the review is almost complete. At present, the RBI’s upper-layer NBFC list comprises 15 entities.
The classification exercise is part of the RBI’s broader effort to strengthen regulatory oversight of large financial institutions and ensure systemic stability.
In addition to Tata Sons, several large NBFCs continue to be monitored under this framework due to their scale, interconnectedness, and impact on the financial system.
The finalized list is anticipated to clarify compliance deadlines and listing requirements for the entities concerned, with particular focus on Tata Sons, whose status continues to be a central issue for regulators and industry observers.