India: Finance and Banking

On July 27, 2026, the Reserve Bank of India (“RBI”) issued four draft amendment directio ns pertaining to Commercial Banks, Small Finance Banks, Non-Banking Financial Companies (“NBFCs”) and All India Finan cial Institutions (“AIFIs”), proposing changes to the respective Securitisation Transactions Directions, 2025 governing each category of regulated entity.

The Reserve Bank of India’s Scale Based Regulation (“SBR”) framework has fundamentally changed the way India regulates its largest non-banking financial companies (“NBFCs”). What began in 2021 as a framework built around size, complexity, interconnectedness, and systemic importance has evolved into a substantially more predictable regime following the RBI’s June 2026 amendments.

The Reserve Bank of India has introduced a new classification system for Non-Banking Financial Companies, fundamentally changing registration requirements based on public funding access, customer interface, and asset size thresholds. These regulatory changes create distinct compliance pathways for different NBFC categories while introducing new rules for group entities and overseas investments.

Tata Sons has been compelled to go public, which is an empire valued around 15 lakh crore rupees. And in an attempt to avoid this, it has already repaid over 21,000 crores in debt. Tata Sons sits at the very top of the Tata group and what makes it even more special is who owns it. Two-thirds of it belongs to Tata Trusts which is the charitable trust. This means a significant portion of Tata’s profits supports schools, scholarships and hospitals.

The NCLT, New Delhi (Special Bench) vide order dated 25.08.2026 in Indiabulls Housing Finance Limited vs. Dr. Subash Chandra approved the repayment plan of INR 6.50 Crores submitted by the Personal Guarantor as against admitted claims of approximately INR 22,006.57 Crores.

Since 2020, the portfolio management services (PMS) industry has grown significantly. The assets under management (AUM) rose from INR 18.07 lakh crore in April 2019 to INR 42.61 lakh crore as on 31 May 2026.

Stamp duty is one of the oldest forms of fiscal legislation in India, yet it remains one of the most frequently underestimated sources of risk in corporate and commercial transactions. Parties tend to focus on the substantive commercial terms, tax implications, and regulatory approvals, relegating stamp duty analysis to the execution stage.

The 2026 IBC amendments have fundamentally altered the dynamics of personal guarantor insolvency proceedings by eliminating automatic interim stays. What was once a powerful tool for promoters to halt recovery actions through a simple filing now requires substantive judicial scrutiny, shifting the balance of power back toward creditors and forcing lenders to reassess their enforcement strategies across multiple forums.

SEBI has restored the open market buy-back route through stock exchanges effective August 1, 2026, after suspending it in April 2025. The amendment introduces significant changes including a fixed 66-working-day execution window, ISIN-level freeze on promoter shareholding, mandatory minimum public shareholding compliance, and makes merchant banker appointment discretionary while reallocating their functions among company officers and auditors.

The Conference of the Parties (COP) is a global summit under the UNFCCC that brings together nations, civil society, and industry to address climate change, track progress on the Paris Agreement, and advance international efforts to reduce emissions and support vulnerable countries.

The Insolvency and Bankruptcy Code (Amendment) Act, 2026 introduced sub-section (4) into Section 96 of the Insolvency and Bankruptcy Code, 2016 (IBC), excluding personal guarantors to corporate debtors from the protection of the interim moratorium that automatically arises on the filing of an application to initiate insolvency resolution proceedings under Section 94 or Section 95. The amendment, which came into force on 26 May 2026, does not contain any express statement as to whether it applies to pending applications or applications filed after the introduction of Section 96(4).

The GST Council, at its 57th meeting held on 8 October 2026, recommended a package of measures intended to facilitate the export of services from India. For enterprises that deliver services through overseas branches, the most consequential recommendation is the proposed removal of the restriction under which a supply between an Indian establishment and its own foreign branch could not qualify as an “export of services”. The Council has also recommended system-based processing of refunds and a wider eligibility for refund of accumulated input tax credit (“ITC”), both of which bear directly on working capital.