RBI exempts venture capital fund companies from section 45-IA and 45-IC of the Reserve Bank of India Act, 1934

The Reserve Bank of India vide its notification dated 10th July 2020 has exempted Venture capital fund companies holding a certificate of registration obtained under section 12 of the Securities and Exchange Board of India Act, 1992 and not holding or accepting public deposit from the provisions of section 45-IA which deals with Requirement of registration and net owned fund and 45-IC which specifies Reserve fund of the RBI Act, 1934.

Further, RBI also exempts those venture capital fund companies from the applicability of guidelines issued by the Bank for NBFCs.

Click here to read the notification.