INSUBCONTINENT EXCLUSIVE:
Dewan Housing Finance Corporation Ltd's stock fell as much as 12.3 per cent.Shares of a few non-banking financial companies (NBFCs) took a
hit on Monday after the Reserve Bank of India (RBI) said on Friday it was looking at strengthening guidelines for such entities to avoid
rollover risks.Dewan Housing Finance Corporation Ltd's stock fell as much as 12.3 percent, while that of Edelweiss Financial Services Ltd
tumbled as much as 13.9 percent
Shares of JM Financial Ltd and IIFL Holdings Ltd declined as much as 11.1 percent and 11 percent, respectively.The RBI left key policy rates
unchanged on Friday, and urged all financial firms to use long-term funds rather than rely on short-term funding.The RBI will tighten norms
for NBFCs given that many are becoming systemically important and have a higher dependence on short-term sources like commercial papers and
mutual funds, CLSA analysts said in a note.The actions could be on the lines of liquidity coverage requirements for banks, the note
added.NBFCs came into focus when country's major infrastructure financing and construction company, ILFS, defaulted on some of its debt
obligations, triggering a series of rating actions and concerns about the country's financial sector.Up to last close, shares of Dewan
Housing have declined 52.8 percent this year, while those of Edelweiss, JM Financial and IIFL have fallen 40.8 percent, 46.5 percent and 31
TheIndianSubcontinent staff and is published from a syndicated feed.)
