NBFCs won't be overjoyed with RBI ruling: Phani Shekhar, Angel Broking

In a chat with ET Now, Phani Shekhar, Fund Manager-PMS, Angel Broking, shares his views on RBI's ruling on NBFCs.

ET Now: The big news this morning is RBI tightening the NBFC rules and bringing NPA norms now at par with banks. What does it mean for NBFCs? Is it time to rejoice now for them?

Phani Shekhar: I do not think NBFCs will like it too much because they would have wanted NPA norms to be in line with banks. But NBFC as an entire complex still looks good, especially in segments such as home finance, where NPA of NBFCs is much better than those of banks. The only concern might be with those which are financing commercial vehicles or infrastructure. But other than that, the rest of the NBFC complex such as home finance or microfinance look okay.