Aryaman Financial Arm Gets RBI Approval to Operate as NBFC

India’s financial sector witnessed an important regulatory development in December 2025. Aryaman Financial Services Ltd (AFSL) announced that its subsidiary has received approval from the Reserve Bank of India (RBI). This allows the company to formally enter the NBFC space under RBI supervision.

RBI Approval

• Aryaman Financial Services Ltd stated that its wholly owned subsidiary, Aryaman Finance (India) Ltd has been granted a Certificate of Registration (CoR) by the Reserve Bank of India.
• The approval authorizes the subsidiary to commence business as a Non-Banking Financial Company (NBFC).

Category of NBFC Approved

The RBI has registered the subsidiary as,

• Type II NBFC – Non – Deposit Taking which is Investment and Credit Company (NBFC-ICC).

This means,

• The company cannot accept public deposits
• It can engage in investment, lending, and credit-related activities
• It will function under RBI’s prudential and regulatory norms

About Aryaman Financial Services Ltd (AFSL)

AFSL is a SEBI-registered Category – I Merchant Banker.

The company is based in Mumbai and specialises in capital market activities, including,

• IPOs and FPOs
• Rights and Composite Issues
• Qualified Institutional Placements (QIPs)
• PIPE (Private Investment in Public Equity) deals
• Venture capital and other fundraising services

AFSL mainly focuses on SME fundraising, typically in the ₹10 crore to ₹200 crore range.

Significance

The Certificate of Registration (CoR) is mandatory under the RBI Act, 1934 for any entity wishing to operate as an NBFC.

It confirms that the entity meets requirements related to,

• Minimum capital
• Governance standards
• Fit and proper management
• Financial soundness

Without this approval, no company can legally conduct NBFC activities in India.

Static Background For  NBFCs in India

NBFCs play a critical role in India’s financial system by,

• Providing credit where banks have limited reach
• Supporting MSMEs, startups, and niche sectors
• Complementing the formal banking system

They are regulated by the RBI, but differ from banks as they cannot accept demand deposits and do not issue cheques.

Regulatory Oversight and Investor Confidence

• RBI regulation enhances credibility and investor confidence.
• It ensures transparency, risk management, and consumer protection.
• For markets, such approvals signal regulatory compliance and long-term stability.

Key Takeaways

• Aryaman Financial’s subsidiary received RBI CoR
• Approved as Type II NBFC (Non-Deposit Taking)
• Category: Investment and Credit Company
• AFSL is a SEBI Category-I Merchant Banker
• Move strengthens diversification in financial services

Question

Q. Aryaman Finance (India) Ltd has been registered by RBI under which category?

A. Deposit-taking NBFC
B. Housing Finance Company
C. Type II NBFC – Non-Deposit Taking
D. Payment Bank