💨 Abstract

The International Monetary Fund (IMF) has issued a warning about potential financial instability in India due to Non-Banking Financial Companies (NBFCs) heavily investing in the power and infrastructure sector. The IMF is concerned about the interconnectedness of NBFCs with banks, corporate bond markets, and mutual funds, which could escalate systemic stress if vulnerabilities emerge.

Courtesy: theprint.in

Summarized by Einstein Beta 🤖