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Definition of "Non banking finance company"

A Non-Banking Financial Company (NBFC) is a company registered under the Companies Act, 1956, engaged in the business of providing loans and advances, acquisition of shares, debentures and other securities, leasing, hire-purchase, insurance business and chit business. The term NBFC does not include any institution whose principal business is that of agriculture activity, industrial activity or sale/purchase/construction of immovable property.

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