JSW considers foray into NBFS

India's leading integrated steel manufacturer, JSW Group, is evaluating various opportunities in the non-banking financial services (NBFS) sector, after previously announcing its plans to produce electric vehicles and enter regional aviation. The group is planning to invest about Rs 100 billion ($1.6 billion) in its NBFS foray.

In January, JSW Group announced that the group is planning to venture into electric cars by 2020 as they are expecting that the government will promote such vehicles.

They had also applied under a subsidy programme spearheaded by Prime Minister Narendra Modi to improve the flight connectivity to small towns and villages.

It is expected that over the next few years, the NBFS sector will go through a golden period as the Indian economy is expanding rapidly. Simultaneously, the nation’s banks are struggling with stressed assets, which makes them more careful in lending.

India’s stressed assets have risen to about 17 per cent of the total debt. A proposal has been approved by the lawmakers wherein RBI has been given more power to sort out the banking sector’s stressed loan issue.