Evergreening & AIFs: An impractical solution to a genuine problem?

The regulatory dance around AIFs just got a double spin with both the RBI and SEBI making moves. The RBI has stated that Banks and NBFCs can't invest in AIFs funding borrowers they already have loans to. While SEBI has mandated all fresh AIF investments after September 2024 to be dematerialized. Even as it is a big step against the evergreening of loans, it could also affect ₹20,000-40,000 crore of AUM if lenders have to unwind their investments. Is this an impractical solution to a genuine problem? Host Anupriya Nair gets you details from Deepak Shenoy, Founder and CEO - Capitalmind, and ET’s Sugata Ghosh and Shilpy Sinha. Tune in to the latest episode of The Morning Brief podcast!

Credits: Reserve Bank of India

Do check out the latest article by Sugata Ghosh: ET analysis: Is evergreening of loans evergreen?

If you like this episode from Anupriya Nair, check out her other interesting episodes on Outlook 2024 with JPMorgan: Will Cuts be the Catalysts for Macros and Markets? India’s Surge In Satta: How cheap options can turn very costly, Digital Payments: Making Lives Easy or A Fraudster's Paradise? And much more!

You can follow our host, Anupriya Nair on her social media: Twitter & LinkedIn.

Catch the latest episode of ‘The Morning Brief’ on ET Play, The Economic Times Online, Spotify, Apple Podcasts, JioSaavn, Amazon Music and Google Podcasts.

See omnystudio.com/listener for privacy information.