India: Capital Adequacy/BASEL

The Indian corporate financing landscape has evolved significantly, with companies increasingly exploring alternatives to traditional bank funding and equity dilution. One such sophisticated instrument is the issuance of listed Non-Convertible Debentures (NCDs), which allows companies to raise debt capital from institutional investors while maintaining ownership control.

The Indian financial system is anchored by two major intermediaries: traditional banks and Non-Banking Financial Companies (NBFCs). While banks operate under the Banking Regulation Act, 1949, NBFCs are companies registered under the Companies Act, 1956, which primarily engage in lending, investments, and other financial services which are governed by Chapter III B of the Reserve Bank of India Act, 1934.

The DRI, which functions under the Central Board of Indirect Tax and Customs (Ministry of Finance, Department of Revenue), is an anti-smuggling intelligence, investigation, and operations agency of India.