Govt approves Special liquidity scheme for NBFCs and HFCs
- Posted By
7th Jul, 2020
- Govt has approved special liquidity scheme for NBFCs/HFCs to avoid potential systemic risks in financial sector
- The Scheme is launched through Special Purpose Vehicle (SPV) in the form of SLS Trust set up by SBI Capital Markets Limited
- Under this, SPV will purchase the short-term papers from eligible NBFCs/HFCs (whose NPA is not more than 6%)
- Commercial papers (CPs) and non-convertible debentures (NCDs) will be used as instruments with 3 months maximum maturity period.