RBI Lifts Loan Restrictions on Navi Finserv

The Reserve Bank of India removed the restrictions on Navi Finserv's loan sanctions and disbursals. Initially, the restrictions were due to concerns about excessive interest rates. Following several adjustments and reforms by Navi Finserv, the RBI is now satisfied, lifting the sanctions immediately.

The Reserve Bank of India (RBI) announced on Monday that it has lifted the restrictions on loan sanctions and disbursals by Sachin Bansal's Navi Finserv, effective immediately.

Previously, the RBI had directed Navi Finserv and three other non-banking financial companies (NBFCs) to halt loan activities by October 21, 2024, due to issues with their pricing policies and excessive interest rates over their cost of funds.

After multiple interactions and a commitment from Navi Finserv to meet regulatory guidelines through revamped processes, the RBI found the company satisfied its concerns and removed the restrictions. Sachin Bansal, CEO of Navi Finserv, emphasized their intent to ensure compliance and operational excellence.

(With inputs from agencies.)