Implementation of Indian Accounting Standards

RBI has made it mandatory for NBFC's and Asset Reconstruction Companies (ARCs) to comply with Indian Accounting Standards (Ind AS) for the preparation of their financial statements from financial year 2019-20. Non-Banking Financial Companies (NBFCs) covered by Rule 4 of the Companies (Indian Accounting Standards) Rules, 2015 are required to comply with Indian Accounting Standards (Ind AS) for the preparation of their financial statements in order to promote a high quality and consistent implementation as well as facilitate comparison and better supervision.

Detailed procedure and instructions for preparation of their financial statements from financial year 2019-20 onwards in terms of Ind As is mentioned in the Annexure attached to the RBI  circular no. RBI/2019-20/170;DOR (NBFC).CC.PD.No.109/22.10.106/2019-20 dt. 13th March 2020 which can be acessed by clicking on the following link:Implementation of Indian Accounting Standards