Current Affairs · Banking Regulations
What was the main objective behind the framework announced by the RBI in April 2025 regarding investments by regulated entities in Alternative Investment Funds (AIFs)?
- 1To merge AIFs with mutual funds
- 2To provide tax exemptions for foreign investors
- 3To prevent evergreening of loans by banks/NBFCs✓
- 4To allow AIFs to borrow from RBI directly
Correct answer
To prevent evergreening of loans by banks/NBFCs
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