Non-banking Finance Companies (NBFCs) are in focus on Tuesday after the Reserve Bank of India (RBI) revised Regulatory Framework for NBFCs with a view to streamlining the regulations for the sector.

Shares of Shriram Transport Finance rallied the most with gain of 6.28% followed by IDFC (2.32%), LIC Housing Finance (1.60%), L&T Finance Holdings (1.57%) and Mahindra & Mahindra Financial Services (0.91%).

RBI said, it is mandatory for all NBFCs to attain a minimum NOF of Rs 20 million by the end of March 2017. Although the requirement of minimum NOF at present stands at Rs 20 million, the minimum NOF for companies that were already in existence before April 21, 1999 was retained at Rs 2.5 million.

Towards provisioning of standard assets, the RBI said that NBFCs would be required to raise it to 0.3 per cent by end of March 2016; 0.35% by March 2017 and to 0.4% by end of March 2018.