RBI issues guidelines for appointment of statutory auditors of banks, NBFCs

The guidelines provide necessary instructions for appointment of SCAs/SAs, the number of auditors, their eligibility criteria, tenure and rotation, while ensuring the independence of auditors, the apex bank said.

The Reserve Bank of India on Tuesday issued guidelines for appointment of statutory auditors of banks and non-banking finance companies (NBFCs), including housing finance companies. 'Guidelines for Appointment of Statutory Central Auditors (SCAs)/ Statutory Auditors (SAs) of Commercial Banks (excluding RRBs), UCBs and NBFCs (including HFCs)' will be applicable for financial year 2021-22 and onwards. However, non-deposit taking NBFCs with asset size below ₹1,000 crore have the option to continue with their extant procedure.