Correct Answer : Option (B) - 4
RBI has divided NBFCs into four layers (or 4 scales) on the basis of size, activity, and perceived riskiness.
* NBFC – Base Layer (NBFC-BL),
* NBFC – Middle Layer (NBFC-ML),
* NBFC – Upper Layer (NBFC-UL)
* NBFC – Top Layer (NBFC-TL).
base layer – It is NBFCs with asset size up to Rs 1000 crore and includes NBFCs P2P and NBFC Account Aggregators.
middle layer – It will have an asset size of over Rs 1,000 crore and housing finance companies. will also include core investment companies, infrastructure finance companies.
Upper layer NBFCs – Is to be identified by the Reserve Bank as warranting enhanced regulatory requirement based on a set of parameters and scoring methodology as provided in the Appendix to this circular.
Top Layer – It will ideally remain empty. it will be used when there is a substantial increase in the potential systemic risk from specific NBFCs in the Upper Layer and Such NBFCs will be included to the Top Layer.