The Reserve Bank of India (RBI) vide a circular dated 11.0.2021, decided that the provisions of the circular regarding Risk Based Internal Audit (RBIA) shall be applicable to Housing Finance Companies (HFCs) as well. The circular further stipulates that all deposit taking HFCs, irrespective of their size and non-deposit taking HFCs with asset size of ₹5,000 crore and above shall conduct Risk Based Internal Audit (RBIA). The above-mentioned entities should put in place a RBIA framework by June 30, 2022.
