“STUDY AND GROWTH OF NON BANKING FINANCIAL COMPANY”

A PROJECT SUBMITTED TO

UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF THE DEGREE OF

BACHELOR IN COMMERCE (FINANCIAL MARKETS)

UNDER THE FACULTY OF COMMERCE

BY

MR. ARJUN DEEPAK SINGH

UNDER THE GUIDANCE OF

MS. HARSHA HARDASANI

SMT. M.M.K COLLEGE OF COMMERCE & ECONOMICS

ADV, NARI GURSAHANI RD, T.P.S III, BANDRA(W) MUMBAI, MAHARASHTRA 400050

MARCH-2024
 “STUDY AND GROWTH OF NON BANKING FINANCIAL COMPANY”

A PROJECT SUBMITTED TO

UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF THE DEGREE OF

BACHELOR IN COMMERCE (FINANCIAL MARKETS)

UNDER THE FACULTY OF COMMERCE

BY

MR. ARJUN DEEPAK SINGH

UNDER THE GUIDANCE OF

MS. HARSHA HARDASANI

SMT. M.M.K COLLEGE OF COMMERCE & ECONOMICS

ADV, NARI GURSAHANI RD, T.P.S III, BANDRA(W) MUMBAI, MAHARASHTRA 400050

MARCH-2024
 ACKNOWLEDGMENT
(MODEL STRUCTURE OF THE ACKNOWLEDGEMENT)

To list who all have helped me is difficult because they are so numerous and the depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh dimensions in the
completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do this project.

I would like to thank my Principal, ____________________ for providing the necessary facilities required
for completion of this project

I take this opportunity to thank our Coordinator ______________________, for her moral support and
guidance

I would also like to express my sincere gratitude towards my project guide ___________________ whose
guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference books and magazines
related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped me in the completion
of the project especially my Parents and Peers who supported me throughout my project.
 SMT. M.M.K COLLEGE OF COMMERCE & ECONOMICS
ADV, NARI GURSAHANI RD, T.P.S III, BANDRA(W) MUMBAI, MAHARASHTRA 400050

CERTIFICATE

This is to certify that Mr Arjun Deepak Singh has worked and duly completed his Project Work for the
degree of Bachelor in Commerce (Financial Markets) Under Faculty of Commerce in the subject of
Financial Market and her project is entitled “ STUDY AND GROWTH OF NON BANKING
FINANCIAL COMPANY’’ under my supervision.

I further certify that the entire work has been done by the learner under my guidance and that no
part of it has been submitted previously for any Degree or Diploma of any University.

It is his own work and facts reported by his personal findings and investigations.

Seal of the college

Name and Signature of Guiding Teacher

External Examiner Signature

Date of submission:
 Declaration by learner

I the undersigned Mr. Arjun Deepak Singh here by, declare that the work embodied in this project work
titled “STUDY AND GROWTH OF NON BANKING FINANCIAL COMPANY” forms my own
contribution to the research work carried out under the guidance of Ms Harsha Hardasani is a result of my
own research work and has not been previously submitted to any other University for any other Degree/
Diploma to this or any other University.

Wherever reference has been made to previous works of others, it has been clearly indicated as such and
included in the bibliography.

I. here by further declare that all information of this document has been obtained and presented in
accordance with academic rules and ethical conduct.

Name and Signature of the learner

Certified by

Name and signature of the Guiding Teacher

 Executive Summary

Non-banking financial companies (NBFCs) are rapidly emerging as crucial actors within the global
financial landscape. They provide various financial services, including loans, factoring, leasing,
hire-purchase, investment products, and sometimes even microfinance. NBFCs cater to a wide range
of clientele, from individuals and small businesses to large corporations, often focusing on
segments underserved by traditional banks. This specialization and focus are fueling their growth.
Key drivers of this expansion include NBFCs' ability to address gaps in financial inclusion, their
flexibility in offering tailor-made solutions, and their increasing adoption of cutting-edge financial
technologies. Furthermore, a conducive regulatory environment in many markets plays a positive
role in the sector's development, especially in fostering innovation and healthy competition.

The growth of the NBFC sector shows several significant trends. NBFCs continue to increase their
market share relative to traditional banks, demonstrating their importance as providers of credit and
financial products. Their strong emphasis on addressing the needs of underbanked or unbanked
communities underscores their significance in deepening financial inclusion across several
economies. Moreover, the development and adoption of innovative financial products beyond
traditional lending are diversifying NBFCs' offerings and broadening their appeal. Importantly,
strategic partnerships with banks and even mergers and acquisitions among NBFCs are redefining
the sector and leading to consolidation for greater efficiency and impact.

While the growth outlook for NBFCs remains positive, the sector must carefully address challenges
while leveraging opportunities. Rigorous risk management frameworks are critical, especially when
catering to segments that may be considered higher-risk by conventional financial institutions.
Sustained investment and adaptation to technological advancements are necessary for NBFCs to
offer competitive services and enhanced customer experiences. In the coming years, we may also
see successful NBFCs with proven models extend their reach to other developing markets, exporting
their expertise and innovations across borders.

In conclusion, in-depth studies into the NBFC sector clearly show its transformative role in the
financial systems of many countries. NBFCs' growth trajectory, spurred by their adaptability,
technological prowess, and focus on customer-centric solutions, positions them to be indispensable
actors as they champion greater access to finance globally.
 41 CHAPTER 6-SUGGESTION, LIMITATIONS
AND CONCLUSION

44 6.3 Conclusion 76-77

45 REFERENCES 78-79
42 6.1 Suggestion 73-74
43 6.2 Limitation of the research 75