Regulatory Alerts2025-11-14
Added · Updated
Amendments in the Non-Banking Finance Companies and Notified Entities Regulations, 2008
The Securities and Exchange Commission of Pakistan amends the Non-Banking Finance Companies and Notified Entities Regulations, 2008, to introduce definitions for Buy Now Pay Later (BNPL), Nano Loans, and Qualified Financial Institutions, while updating the definition of Microenterprises. The amendments revise exposure limits for NBFCs, capping single-person exposure at 20% of equity and group exposure at 25%, with specific provisions for credit guarantee institutions and non-deposit taking NBFCs. New requirements are established for Peer-to-Peer (P2P) lending platforms, including exposure caps for lenders and borrowers, mandatory platform contingent funds, and strict risk disclosure obligations. Additionally, the regulations update minimum equity requirements for non-deposit taking NBFCs and impose digital lending compliance standards, including grievance redressal and website maintenance.