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RBI Removes Restrictions on Ashirvad Micro Finance Limited (AMFL) and DMI Finance Private Limited (DFPL).

Banking & Finance | Dated: 13 Jan 2025

On January 8, 2025, the Reserve Bank of India (RBI) lifted the business restrictions on Ashirvad Micro Finance Limited (AMFL) based in Chennai (Tamil Nadu) and DMI Finance Private Limited (DFPL) based in New Delhi (Delhi). This was done after the companies took corrective actions and promised to follow fair loan pricing and regulatory rules.

🎯 Key Highlights:

  • - The RBI had previously ordered these two Non-Banking Financial Companies (NBFCs) to stop approving and disbursing loans from October 21, 2024.

💡 Other Important Facts:

  • The RBI had found that AMFL and DFPL were charging high-interest rates and not following regulatory rules, especially concerning the Weighted Average Lending Rates (WALR) and interest spreads.

📚 Test Your Knowledge:

Which financial institution recently lifted restrictions on Ashirvad Micro Finance Limited (AMFL) and DMI Finance Private Limited (DFPL)?

Correct Answer: RBI

🚀 Quick Recap:

About RBI

  • Governor : Sanjay Malhotra
  • Headquarter : Mumbai