NATIONAL, 12^th JANUARY, 2024 (GPN) : Finance Industry Development Council (FIDC) is a Representative Body of NBFCs registered with the Reserve Bank of India. FIDC was formed 19 years ago and is the recognized face of the NBFC sector. FIDC has been engaged in regular interaction both with Reserve Bank of India and Govt. of India, which include prebudget meetings and important policy related meetings with RBI. Almost all the leading NBFCs and a large number of small and medium sized NBFCs are our members.

The Board of Directors of FIDC is glad to inform that FIDC has released its two most important documents:

(i) Vision Document &

(ii) Code of Conduct

at the hands of the Chairman Mr. Umesh Revankar on Thursday 11th January, 2024 (copies enclosed).

FIDC has drawn a Vision Document for NBFC Sector for the next 2 years and how it wants to achieve this. FIDC proposes to enhance the image, impact and income of the NBFC Sector with the support of all stakeholders. Towards this, FIDC will play a significant role in ensuring high degree of corporate governance, adherence to regulatory norms and fair market practices among its members.

FIDC is issuing this Code of Conduct for all its members emphasizing the need to enhance responsible lending behaviour and practices and to ensure ethical practices in conduct of business. This Code of Conduct shall be a step in the right direction to enhance the confidence in the non-bank lending community, as this shall bring better discipline and harmony among the NBFCs. The Code of Conduct contains the guidance for various issues, inter alia, corporate governance, risk management, audit requirements, grievance redressal mechanism, delinquency management, education, outsourcing arrangements, engagement of recovery agents/collection agencies.

Talking on this milestone occasion, FIDC Chairman and Executive Vice-Chairman, Shriram Finance Ltd. Mr. Umesh Revankar said, “I am sure the Code of Conduct, as prepared by FIDC with the suggestions of all will be adhered to by all its members in letter and spirit and will go a long way in promoting self-governance and disciplined growth of the NBFC sector. I believe this will be the harbinger of a much greater role played by the NBFC sector in the growth and sustainable financial health of our country. Together, we have overcome challenges and achieved remarkable milestones and come out stronger after every crisis. Our shared dedication defines us, and I am confident that the NBFC Sector will rise up and play its role in Viksit Bharat 2047. Let’s embrace innovation, collaboration, and excellence. Let’s continue to lead with integrity, creativity, and a relentless pursuit of excellence, filled with prosperity, growth, and fulfilment.” Ends