IDBI Bank and M&M Financial would be equal on a fair turf

Despite warnings by Joseph Stiglitz and the IMF on granting Licences to corporates to banks , NBFCs like Religare, M&M, Sundaram , Bajaj Auto’s to financial businesses  and even others instill confidence in one thatt Corporates would be equal to the task and can be well regulated with the trifle onerous but well though super holding co, structure. A similar one has indeed been adopted by US also in G-SIFI introduction inthe US domestic map, allowing global businessess to use holding companies to hold capital domestically for banks .

The NBFC operations allowed to convert into a bank would thus be held by a supernary financial holding company which will allocate capital to banking and other financial services businesses including Insurance in the Indian map also if all goes well and one might still end up overthinking it instead of allowing good regulation to prevail disregarding both minimalist and microregulation options given to central regulators incl Central banks today

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