The Reserve Bank of India (RBI) has removed all restrictions on the fund-based exposures of the merchant banking subsidiaries of commercial banks.
The merchant banking wings of banks will now be subjected to Securities and Exchange Board of India (Sebi) regulations, the RBI said.
An old RBI directive (dated September 29, 1989) had stipulated that exposure of merchant banking subsidiaries, floated by banks, in terms of funded and non-funded commitments
