The Reserve Bank of India has rolled out a set of reforms that could change the way banks participate in capital markets. Think of it as a three-pronged push to unlock more credit, fuel corporate deal-making, and give banks a bigger role in equity and debt financing. Here’s what’s on the table—and why it matters.

The moves

1. Banks get a green light for acquisition financing

For the first time, banks will be allowed to lend for corporate acquisitions. That means they can now fund buyouts and consolidation deals—something Indian lenders have been lobbying for.

2. Higher lending limits against securities

The RBI is removing the cap on loans against listed debt and raising exposure limits for loans against shares—from ₹20 lakh to ₹1 crore per person. IPO financing limits are also being

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