National Bank for Financing… Bare Act

The source publishes this enactment as a single document rather than provision by provision, so the whole text is below and there are no per-section pages for it. Nothing has been shortened.

Long title	National Bank for Financing Infrastructure and Development General (Amendment) Rules, 2022
Type	Rules
Year	2021
Jurisdiction	Central
Ministry	Ministry of Finance
Status	In force as published by the source
Text	Published as one document, as the source published it
Subjects	financial

4729 GI/2022 (1) xxxGIDExxx EXTRAORDINARY II (i

PART II Section 3 Sub-section (i) PUBLISHED BY AUTHORITY 510] 15, 2 24, 4 No. 510] NEW DELHI, FRIDAY, JULY 15, 2022/ASHADHA 24, 1944 CG-DL-E-16072022-237324 2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 3 4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 5 6 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 7 8 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 9 10 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 11 12 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 13 14 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 15 16 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 17 18 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 19 20 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 21 22 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 23 24 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 25 26 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 27 28 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 29 30 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 31 32 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(1) [ II 3(i)] 33 34 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 35 36 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 37 38 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] [ II 3(i)] 39 MINISTRY OF FINANCE (Department of Financial Services) NOTIFICATION New Delhi, the 15th July, 2022 G.S.R. 580(E). In exercise of the powers conferred by section 31 of the National Bank for Financing Infrastructure and Development Act, 2021 (17 of 2021), the Central Government hereby makes the following rules to amend the National Bank for Financing Infrastructure and Development General Rules, 2022, namely:

1. Short title and commencement. (1) These rules may be called the National Bank for Financing Infrastructure and Development General (Amendment) Rules, 2022.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the National Bank for Financing Infrastructure and Development General Rules, 2022 (hereinafter referred to as the said rules), after rule 4, the following rule shall be inserted, namely: 40 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] -time directors The terms and conditions of service including leave, code of conduct, ethics and disciplinary matters of the Managing Director and Deputy Managing Directors may be determined by the Board on the recommendation of the Nomination and Remuneration Committee based on market practice and requirements of the Institution, keeping in view the terms and conditions of other

3. In the said rules, after rule 8, the following rule shall be inserted, namely:

9. Form and manner of balance sheet and accounts. The balance sheet as at 31st March of each year and the profit and loss account for the year ending on 31st March of each year shall be prepared in Form 2 and Form 3 respectively, as set out in the Schedule

4. In the Schedule to the said rules, after Form 1, the following forms shall be inserted, namely: 2 [See rule 9] Balance Sheet as at 31st March, _ (While adopting AS GAAP for preparation of accounts) Schedules As at 31.03.___ (Current Year) As at 31.03._ (Previous Year) Assets Financial Assets

1. Cash in hand and balances with the Reserve Bank of India I

2. Balances with banks II

3. Derivative Financial Instruments III

4. Loans IV

5. Investments V

6. Other financial assets (to be specified) VI Non-Financial Assets

1. Property, plant and equipment VII

2. Goodwill

3. Other intangible assets VIII

4. Current tax assets

5. Deferred tax assets

6. Other non-financial assets (to be specified) IX Total assets Equity and liabilities Financial Liabilities

1. Deposits X

2. Borrowings XI

3. Debt Securities XII

4. Derivatives Financial Instruments

5. Other financial liabilities (to be specified) XIII Non-Financial Liabilities

1. Current tax liabilities

2. Deferred tax liabilities

3. Other non-financial liabilities (including XIV [ II 3(i)] 41 provisions) to be specified) Total liabilities

(a) Share capital XV

(b) Reserves and surplus XVI Total Total equity and liabilities Contingent liabilities XVII Schedule I: Cash in hand and balances with the Reserve Bank of India As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Cash in hand

2. Balances with the Reserve Bank of India Total (1+2) Schedule II: Balances with banks As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. In India

(a) in current accounts

(b) in other deposit accounts

2. Outside India

(a) in current accounts

(b) in other deposit accounts Total (1+2) Schedule III: Derivative financial Instruments

1. Explain use of derivatives.

2. Cross-reference to Financial Risks section for management of risks arising from derivatives. Part I (Current Year) (Previous Year) Notional amounts Fair Value - Assets Fair Value - Liabilities Notional amounts Fair Value - Assets Fair Value - Liabilities

(i)Currency derivatives: -Spot and forwards -Currency Futures -Currency swaps -Options purchased -Options sold (written) -Others Subtotal (i)

(ii)Interest rate derivatives -Forward Rate Agreements and Interest Rate Swaps -Options purchased -Options sold (written) -Futures -Others Subtotal(ii) 42 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(iii)Credit derivatives

(iv)Equity linked derivatives

(v)Other derivatives (Please specify) Total Derivative Financial Instruments

(i)+(ii)+(iii)+(iv)+(v) Part II Included in above (Part I) are derivatives held for hedging and risk management purposes as follows:

(i)Fair value hedging: - Currency derivatives - Interest rate derivatives - Credit derivatives - Equity linked derivatives - Others Subtotal (i)

(ii)Cash flow hedging: - Currency derivatives - Interest rate derivatives - Credit derivatives - Equity linked derivatives - Others Subtotal (ii)

(iii)Net investment hedging:

(iv)Undesignated Derivatives Total Derivative Financial Instruments (i)+ (ii)+(iii)+(iv) With respect to hedges and hedge accounting, Institution may provide a description, in accordance with the requirements of applicable Accounting Standards and related Guidance Notes, of how derivatives are used for hedging, explain types of hedges recognised for accounting purposes and their usage/application by the entity. Schedule IV - Loans [Net of specific provisions i.e. provisions for Non-Performing Assets] As at 31.03. (Current Year) As at 31.03._ (Previous Year)

1. (a) Bill purchased and bills discounted

(b) Loans repayable on demand

(d) Others (to be specified) Subtotal (1)

2. (a) Secured by tangible assets

(b) Secured by intangible assets

(d) Unsecured Subtotal (2)

3. (a) Loans in India

(b) Loans outside India Subtotal (3) Subtotal (1), (2) and (3) should tally with each other. [ II 3(i)] 43 Schedule V: Investments [ net of provisions for depreciation and non-performing investments] As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Investment in India

(a) Securities of Central and State Governments

(b) Shares of banks and financial institutions

(d) Units of Mutual Funds and Other units

(e) Shares, bonds, debentures, and other securities of other entities

(f) Investment in subsidiaries, associate, and joint ventures

(g) Others (to be specified) Subtotal (1)

2. Investment outside India

(a) Government securities

(b) Subsidiaries, associates and joint ventures

(c) Others (to be specified) Subtotal (2) Total (1+2) Schedule VII - Property, plant and equipment [Net of Depreciation] As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Properties

(a) At cost as on 31st March of the preceding year

(b) Additions during the year

(d) Depreciation to date

2. Plant and equipment

(a) At cost as on 31st March of the preceding year

(b) Additions during the year

(d) Depreciation to date

3. Other fixed assets

(a) At cost as on 31st March of the preceding year Schedule VI Other financial assets As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Receivables

2. Receivables in respect of insurance claims

3. Others (to be specified) Total 44 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(b) Additions during the year

(d) Depreciation to date Total (1+2+3) Schedule VIII Other Intangible Assets As at 31.03.____ (Current Year) As at 31.03._ (Previous Year)

1. Others Intangible Assets (to be specified)

(a) At cost as on 31st March of the preceding year

(b) Additions during the year

(d) Depreciation to date Total Schedule IX Other non-financial assets As at 31.03.____ (Current Year) As at 31.03._ (Previous Year)

1. Advances given for procurement of Property, Plant and Equipment

2. Prepaid expenses

3. Others (to be specified) Total Schedule X: Deposits As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. From Banks

2. From Others (to be specified) Total (1+2+3) Schedule XI- Borrowings As at 31.03.____ (Current Year) As at 31.03.___ (Previous Year)

1. Borrowings in India

(a) From Reserve Bank of India

(b) From Government of India

(d) Term Money Borrowings

(e) Others (to be specified) Subtotal (1)

2. Borrowings outside India

(a) Multilateral/Bilateral Organisations (to be specified)

(b) Other Development Financial Institutions (to be specified) Subtotal (2) Total (1 + 2) [ II 3(i)] 45 Schedule XII Debt securities* As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Debt securities issued in India

(a) Bonds and debentures

(b) Commercial paper

(d) Others (to be specified) Subtotal (1)

2. Debt securities issued outside India

(a) Bonds and debentures

(b) Others (to be specified) Subtotal (2) Total (1 + 2) * Debt securities subscribed by the Government of India shall be presented separately under this schedule. Schedule XIII- Other financial liabilities As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Interest accrued

2. Unpaid Dividend

3. Unpaid matured debentures and interest accrued thereon

4. Others (to be specified) Total Schedule XIV Other non-financial liabilities (including provisions) As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Revenue received in advance

2. Provisions

3. Others (to be specified) Total Schedule XV Share capital As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Authorized Capital

(a) Equity Share Capital

2. Issued, Subscribed and Paid-up Capital

(a) Equity Share Capital Total share capital Schedule XVI Reserves and Surplus As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Reserve fund (Created under Section 24 of the National Bank for Financing Infrastructure and Development Act, 2021)

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

2. Capital Reserve

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

3. Investment Reserve

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

4. Special Reserve created and maintained u/s 36(1)(viii) of the Income-tax Act, 1961

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance Schedule XVI Reserves and Surplus As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

5. Revaluation Reserves

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

6. General Reserve

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

7. Balance in Statement of Profit and Loss Account

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance

8. Other specific reserves (to be specified)

(a) Opening Balance

(b) Additions during the year

(d) Closing Balance Total Reserves and Surplus Schedule XVII - Contingent liabilities As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Claims against the institution not acknowledged as debts

2. On account of guarantees / Letters of Credit

3. On account of forward Contracts

4. On account of underwriting commitments

5. On account of uncalled monies on partly paid shares, debentures

6. Other items for which the institution is [ II 3(i)] 47 contingently liable (to be specified) Total Form 3 [See rule 9] (While adopting AS GAAP for preparation of accounts) Statement of Profit and Loss for the year ended 31st March, Schedules As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year) Income Interest and discount XVIII Fees and commission income Net gain/(loss) on sale of investments XIX Other Income XX Total income Expenditure Finance Cost XXI Fees and commission expense Provisions on financial assets XXII Employee benefits XXIII Depreciation and impairment on property, plant and equipment Amortisation and impairment of intangible assets Other expenses XXIV Total expenses Net profit/(loss) before taxes and exceptional items Exceptional items Net profit/(loss) before taxes Tax expenses

(i) Current tax

(ii) Deferred tax Net Profit/(loss) after tax for the period Appropriations

(a) Transfer to General Reserve

(b) Transfer to Special Reserve u/s 36(1)(viii) of the Income-tax Act, 1961

(d) Others (to be specified)

(e) Surplus in Profit and Loss account carried forward Earnings Per Share

(a) Basic

(b) Diluted 48 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] Schedule XVIII - Interest and Discount As at 31.03.____ (Current Year) As at 31.03. (Previous Year)

1. Interest and discount income on loans and advances

2. Interest and discount income on investments

3. Interest on balances with and dues from banks

4. Other interest income (to be specified) Total Schedule XIX: Net gain/(loss) on sale of investments As at 31.03.____ (Current Year) As at 31.03. __ (Previous Year)

1. Profit on sale of Investments Less: Loss on sale of investments Total Schedule XX Other income As at 31.03. (Current Year) As at 31.03. (Previous Year)

1. Upfront and processing Fees

2. Income earned by way of dividends on investments

3. Income earned by way of dividends etc. from subsidiaries, associates and joint ventures

4. Foreign exchange gains/(loss) (other than considered as finance costs)

5. Other income (to be specified) Total Schedule XXI - Finance Costs As at 31.03. (Current Year) As at 31.03. (Previous Year)

1. Interest on deposits

2. Interest on borrowings

3. Interest on debt securities

4. Other interest expenses (to be specified) Total Schedule XXII: Provision on financial assets As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Provision for non performing assets

2. Provision for standard loans

3. Provisions for diminution in value of long term investments

4. Provisions / Reversals on other financial assets Total Schedule XXIII: Employee benefits As at 31.03.____ (Current Year) As at 31.03.____ (Previous Year)

1. Salaries and wages including bonus

2. Contribution to Provident Fund and other funds

3. Staff Welfare expenses

4. Others (to be specified) [ II 3(i)] 49 Total Schedule XXIV: Other expenses As at 31.03. (Current Year) As at 31.03. (Previous Year)

1. Rent, Rates and Taxes

2. Electricity and other utilities

3. Printing and Stationery

4. Communication cost

5. Advertisement and publicity

7. Aud

8. Legal and professional charges

9. Repairs and maintenance

10. Insurance

11. Other Expenditure* Total ted separately. Schedule XXIII: Significant accounting policies Schedule XXIV: Notes to account General instructions for preparation of balance sheet and profit and loss account: a. This Schedule sets out minimum requirements for disclosure on the face of (a) the Balance Sheet as at end of the year, (b) Statement of Profit and Loss for the period and (c) Schedules (hereinafter referred to as for purpose of this Schedule). b. Line items, sub-line items and subtotals shall be presented as an addition or substitution on the face of the financial statements when required for compliance with applicable laws, rules, regulation, accounting standards and applicable guidance notes issued from time to time. c. Where compliance with the requirements of the laws, rules, guidelines issued by the Reserve Bank of India from time to time or applicable accounting standards require any change in treatment or disclosure including addition, amendment, substitution or deletion in the head/subhead or any changes inter se, in the financial statements, the same shall be made and the requirements of this Schedule shall stand modified accordingly. d. The presentation and disclosure requirements specified in of this Schedule are in addition to and not in substitution of the disclosure or presentation requirements specified by Reserve Bank of India from time to time or specified in applicable accounting standards and applicable guidance notes issued from time to time. The Reserve Bank of India may prescribe requirements for any of the components of financial statements including the e. resented in the financial statements and shall provide where required (a) narrative descriptions or disaggregations of items recognised in those statements and (b) information about items that do not qualify for recognition in those statements. f. Each item on the face of the financial statements shall be cross-referenced to any related information balance shall be maintained between providing excessive detail that may not assist users of financial statements and not providing important information as a result of too much aggregation. g. The unit of measurement of presenting financial statements shall be Indian Rupees in crores. The unit of measurement shall be used consistently and uniformly in the entire financial statements and Notes to Account. h. Financial collectively, influence the economic decisions that users make on the basis of the financial statements. Materiality depends on the size and nature of the item judged in the particular circumstances. i. For the purpose of this Schedule, the terms used herein shall have the same meanings assigned to them in Accounting Standards and applicable guidance notes issued from time to time. General Instructions for the Preparation of Consolidated Financial Statements

1. Where the Institution is required to prepare Consolidated Financial Statements, i.e., consolidated balance sheet and consolidated statement of profit and loss, the Institution shall mutatis mutandis follow the requirements of this 50 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] Schedule as applicable to the Institution in the preparation of balance sheet and statement of profit and loss. However, where the consolidated financial statements contains elements pertaining to Institution and other than Institution, mixed basis of presentation may be followed for consolidated financial statements where both kinds of operations are significant. In addition, the consolidated financial statements shall disclose the information as per the requirements specified in the applicable Accounting Standards including the following:

(i) rofit and loss shall be presented as allocation for the period.

(ii) owners of the parent.

2. In Consolidated Financial Statements, the following shall be disclosed by way of additional information: Name of the entity Net Assets, i.e., total assets minus total liabilities Share in profit or loss As % of consolidated net assets Amount As % of consolidated profit or loss Amount

(1) (2) (3) (4) (5) Parent Subsidiaries Indian

2. . Foreign

2. . Minority Interest in all subsidiaries Associates (Investment as per the equity method)

2. . Foreign

2. . Joint Ventures (as per proportionate consolidation/investment as per the equity method) Indian

2. . Foreign

2. . Total

3. All subsidiaries, associates and joint ventures (whether Indian or foreign) will be covered under consolidated financial statements.

4. An entity shall disclose the list of subsidiaries or associates or joint ventures which have not been consolidated in the consolidated financial statements along with the reasons of not consolidating. [ II 3(i)] 51 Form 2 [See rule 9] Balance Sheet as at 31st March, _ (While adopting Ind AS for preparation of accounts) (Rupees in .............................................................................................................................................................. ) Particulars Note No. Figures as at the end of current reporting period Figures as at the end of the previous reporting period

(1) (2) (3) ASSETS

(1) Financial Assets

(a) Cash and cash equivalents

(b) Balance in banks other than (a) above

(d) Receivables

(e) Loans

(f) Investments

(g) Other Financial assets (to be specified)

(2) Non-financial Assets

(a) Current tax assets (Net)

(b) Deferred tax Assets (Net)

(d) Goodwill

(e) Other Intangible assets

(f) Other non-financial assets (to be specified) Total Assets LIABILITIES AND EQUITY LIABILITIES

(1) Financial Liabilities

(a) Derivative financial instruments

(b) Payables

(d) Borrowings (Other than Debt Securities)

(e) Deposits

(f) Subordinated Liabilities

(g) Other financial liabilities (to be specified)

2. Non-Financial Liabilities

(a) Current tax liabilities (Net)

(b) Provisions

(d) Other non-financial liabilities (to be specified)

3. EQUITY

(a) Equity Share capital

(b) Other Equity Total Liabilities and Equity See accompanying notes to the financial statements STATEMENT OF CHANGES IN EQUITY Statement of Changes in Equity for the period ended a. Equity Share Capital

(1) Current reporting period Balance at the beginning of the current reporting period Changes in Equity Share Capital due to prior period errors Restated balance at the beginning of the current reporting period Changes in equity share capital during the current year Balance at the end of the current reporting period 52 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(2) Previous reporting period Balance at the beginning of the previous reporting period Changes in Equity Share Capital due to prior period errors Restated balance at the beginning of the previous reporting period Changes in equity share capital during the previous year Balance at the end of the previous reporting period b. Other Equity

(1) Current reporting period Share application money pending allotment Equity component of compound financial instruments Reserves and Surplus Debt instruments through Other Comprehensive Income Equity Instruments through Other Comprehensive Income Effective portion of Cash Flow Hedges Revaluation Surplus Exchange differences on translating the financial statements of a foreign operation Other items of Other Comprehensive Income (specify nature) Money received against share warrants Total Statutory Reserves/ Reserve Fund (created under section 24 of NBFID Act 2021 Capital Reserve Securities Premium Other Reserves (specify nature) Retained Earnings Balance at the beginning of the reporting period Changes in accounting policy/prior period Errors Restated balance at the beginning of the reporting period Total Comprehensive Income for the year Dividends Transfer to retained earnings Any other change (to be specified) Balance at the end of the reporting period

(2) Previous reporting period Share application money pending allotment Equity component of compound financial instruments Reserves and Surplus Debt instruments through Other Comprehensive Income Equity Instruments through Other Comprehensive Income Effective portion of Cash Flow Hedges Revaluation Surplus Exchange differences on translating the financial statements of a foreign operation Other items of Other Comprehensive Income (specify nature) Money received against share warrants Total Statutory Reserves/ Reserve Fund (created under Section 24 of NBFID Act 2021 Capital Reserve Securities Premium Other Reserves (specify nature) Retained Earnings Balance at the beginning of [ II 3(i)] 53 the reporting period Changes in accounting policy/prior period Errors Restated balance at the beginning of the reporting period Total Comprehensive Income for the year Dividends Transfer to retained earnings Any other change (to be specified) Balance at the end of the reporting period Note: Remeasurement of defined benefit plans and fair value changes relating to own credit risk of financial liabilities designated at fair value through profit or loss shall be recognised as a part of retained earnings with separate disclosure of such items along with the relevant amounts in the Notes or shall be shown as a separate column under Reserve and Surplus. Notes GENERAL INSTRUCTIONS FOR PREPARATION OF BALANCE SHEET The National Bank for Financing Infrastructure and Development (Institution) shall disclose the following in the notes to accounts: (A) Cash and cash equivalents: Cash and cash equivalents shall be classified as:

(i) Cash on hand

(ii) Balances with the Reserve Bank of India (of the nature of cash and cash equivalents)

(iii) Balances with Banks (of the nature of cash and cash equivalents); and

(iv) Others (specify nature). Cash and Bank balances: The following disclosures with regard to cash and bank balances shall be made:

(i) Earmarked balances with banks (for example, for unpaid dividend) shall be separately stated.

(ii) Balances with banks to the extent held as margin money or security against the borrowings, guarantees, other commitments shall be disclosed separately.

(iii) Repatriation restrictions, if any, in respect of cash and bank balances shall be separately stated.

(iv) Balances with banks in current accounts and in other deposits in India and Outside India shall be disclosed separately. (B) Derivative financial Instruments

1. Explain use of derivatives.

2. Cross-reference to Financial Risks section for management of risks arising from derivatives. 54 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] Part I (Current Year) (Previous Year) Notional amounts Fair Value - Assets Fair Value - Liabilities Notional amounts Fair Value - Assets Fair Value - Liabilities

(i)Currency derivatives: -Spot and forwards -Currency Futures -Currency swaps -Options Purchased -Options sold (written) -Others Subtotal (i)

(ii)Interest rate derivatives -Forward Rate Agreements and Interest Rate Swaps -Options Purchased -Options sold (written) -Futures -Others Subtotal(ii)

(iii)Credit derivatives

(iv)Equity linked derivatives

(v)Other derivatives (Please specify) Total Derivative Financial Instruments

(i)+(ii)+(iii)+(iv)+

(v) Part II Included in above (Part I) are derivatives held for hedging and risk management purposes as follows:

(i)Fair value hedging: - Currency derivatives - Interest rate derivatives - Credit derivatives - Equity linked derivatives - Others Subtotal (i)

(ii)Cash flow hedging: - Currency derivatives - Interest rate derivatives - Credit [ II 3(i)] 55 derivatives - Equity linked derivatives - Others Subtotal (ii)

(iii)Net investment hedging:

(iv)Undesignated Derivatives Total Derivative Financial Instruments (i)+

(ii)+(iii)+(iv) With respect to hedges and hedge accounting, Institution may provide a description in accordance with the requirements of Indian Accounting Standards, of how derivatives are used for hedging, explain types of hedges recognised for accounting purposes and their usage/application by the entity. (C) Receivables:

(i) Receivables shall be sub-classified as:

(a) Receivables considered good - Secured;

(b) Receivables considered good - Unsecured;

(d) Receivables - credit impaired

(ii) Allowance for impairment loss allowance shall be disclosed under the relevant heads separately.

(iii) Debts due by directors or other officers of the Institution or any of them either severally or jointly with any other person or debts due by firms including limited liability partnerships (LLPs), private companies respectively in which any director is a partner or a director or a member should be separately stated. (D) Loans (Current Year) (Previous Year) Amorti sed cost At Fair Value Subtotal Total Amortised cost At Fair Value Subtotal Total Through Other Comprehen sive Income Through profit or loss Designated at fair value through profit or loss Through Other Comprehensive Income Through profit or loss Designated at fair value through profit or loss

(1) (2) (3) (4) (5=2+3+4) (6=1+5) (7) (8) (9) (10) (11=8+9+10) (12=(7) + (11) Loans (A)

(i) Bills Purchased and Bills Discounted

(ii)Loans repayable on Demand

(iii)Term Loans

(iv) Others (to be specified) Total (A) - Gross Less: Impairment loss allowance Total (A) - Net (B)

(i) Secured by tangible assets 56 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(ii)Secured by intangible assets

(iii) Covered by Bank/Gove rnment Guarantees

(iv) Unsecured Total (B)- Gross Less: Impairment loss allowance Total (B)- Net (C) (I) Loans in India

(i) Public Sector

(ii) Others (to be specified) Total (C)- Gross Less: Impairment loss allowance Total(C) (I)-Net (C) (II)Loans outside India Less: Impairment loss allowance Total (C ) (II)- Net Total C(I) and C(II) (E) Investments Investments Investments (Current Year) (Previous Year) Amortised cost At Fair Value Sub- Total Others* Total Amortised cost At Fair Value Sub - Total Others* Tota l Through Other Compreh ensive Income Through profit or loss Designate-d at fair value through profit or loss Through Other Comprehensive Income Through profit or loss Designated at fair value through profit or loss

(1) (2) (3) (4) (5)=

(2)+

(3)+

(4)

(6) (7)=(1) +(5)+

(6)

(8) (9) (10) (11) (12)=

(9)+

(10)+

(11)

(13) (14)=(8) +(12)+

(13) Units of Mutual funds and other Schemes Government securities Other approved securities Debt securities Equity instruments Subsidiaries Associates Joint Ventures Others (specify) Total Gross (A)

(i) Investments outside India

(ii) Investments in India [ II 3(i)] 57 Total (B) Total (A) to tally with (B) Less: Allowance for Impairment loss (C) Total Net D= (A)-(C) * Other basis of measurement such as cost may be explained as a footnote. (F) Property, Plant and Equipment

(i) Classification shall be given as:

(a) Land

(b) Buildings

(d) Furniture and Fixtures

(e) Vehicles

(f) Office equipment

(g) Others (specify nature)

(ii) Assets under lease shall be separately specified under each class of asset.

(iii) A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, acquisitions through business combinations and other adjustments and the related depreciation and impairment losses or reversals shall be disclosed separately. (G) Goodwill A reconciliation of the gross and net carrying amount of goodwill at the beginning and end of the reporting period showing additions, impairments, disposals and other adjustments. (H) Other Intangible assets

(i) Classification shall be given as:

(a) Brands or trademarks

(b) Computer software

(ii) A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, acquisitions through business combinations and other adjustments and the related amortization and impairment losses or reversals shall be disclosed separately. (I) Debt Securities (Current Year) (Previous Year) At Amortised Cost At Fair Value Through profit or loss Designated at fair value through profit or loss Total At Amortised Cost At Fair Value Through profit or loss Designated at fair value through profit or loss Total

(1) (2) (3)

(4)=(1)+(2) +(3)

(5) (6) (7)

(8)= (5)+(6)+(7) Liability component of compound financial instrument s Others (Bonds/ Debenture/ Commercial Paper/ 58 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] Certificate of Deposits etc.) Total (A) Debt securities in India Debt securities outside India Total (B) to tally with (A)

(i) bonds or debentures (along with the rate of interest, and particulars of redemption or conversion, as the case may be) shall be stated in ascending order of maturity or conversion, starting from earliest redemption or conversion date, as the case may be. Where bonds/debentures are redeemable by installments, the date of maturity for this purpose must be reckoned as the date on which the first installment becomes due;

(ii) particulars of any redeemed bonds or debentures which the Institution has power to reissue shall be disclosed. (J) Borrowings (Other than Debt Securities) (Current Year) (Previous Year) At Amortised Cost At fair value Through profit or loss Designated at fair value through profit or loss Total At Amortised Cost At fair value Through profit or loss Designated at fair value through profit or loss Total

(1) (2) (3) (4)=(1)+(2)+(3) (1) (2) (3) (4)=(1)+(2)+(3)

(a)Term loans

(i)from banks

(ii)from other parties

(b)Liability component of compound financial instruments

(c)Loans repayable on demand

(i)from banks

(ii)from other parties

(d)Other loans (specify nature) Total (A) Borrowings in India -From RBI -From Government of India -From Others Borrowings outside India -From Multilateral/ Bilateral Organisations (to be specified) -From Other Development Financial Institutions (to be specified) Total (B) to tally with (A)

(i) Borrowings shall further be sub-classified as secured and unsecured. Nature of security shall be specified separately in each case.

(ii) Where borrowings have been guaranteed by directors or others, the aggregate amount of such borrowings under each head shall be disclosed;

(iii) terms of repayment of term loans and other loans shall be stated; and

(iv) period and amount of default as on the balance sheet date in repayment of borrowings and interest shall be specified separately in each case. [ II 3(i)] 59 (K) Deposits (Current Year) (Previous Year) At Amortised Cost At fair value through profit or loss Designated at fair value through profit or loss Total At Amortised Cost At fair value through profit or loss Designated at fair value through profit or loss Total

(1) (2) (3) (4)=(1)+(2)+(3) (5) (6) (7) (8)=(5)+(6)+(7) Deposits

(i) From Banks

(ii)From Others (to be specified) Total (L) Subordinated Liabilities (Current Year) (Previous Year) At Amortised Cost At fair value through profit or loss Designated at fair value through profit or loss Total At Amortised Cost At fair value through profit or loss Designated at fair value through profit or loss Total

(1) (2) (3) (4)=(1)+(2)+(3) (5) (6) (7) (8)=(5)+(6)+(7) Perpetual Debt Instruments to the extent that do not qualify as equity Others (specifying the nature and type of instrument issued) Total (A) Subordinated Liabilities in India Subordinated Liabilities outside India Total(B) to tally with (A) (M) Other Financial Liabilities (to be specified): Other Financial liabilities shall be classified as-

(a) Interest accrued;

(b) Unpaid dividends ;

(d) Unpaid matured term deposits and interest accrued thereon;

(e) Unpaid matured debentures and interest accrued thereon;

(f) Margin money (to be specified);and

(g) Others (specify nature) (N) Provisions: The amounts shall be classified as- 60 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

(a) Provision for employee benefits; and

(b) Others (specify nature) (O) Other Non-financial liabilities (to be specified):

(a) Revenue received in advance;

(b) Other advances (Specify nature); and

(a) the number and amount of shares authorised;

(b) the number of shares issued, subscribed and fully paid, and subscribed but not fully paid;

(d) a reconciliation of the number of shares outstanding at the beginning and at the end of the period;

(e) the rights, preferences and restrictions attaching to each class of shares including restrictions on the distribution of dividends and the repayment of capital;

(f) shares in the Institution held by Central Government, multilateral institution, sovereign wealth funds, pension funds, insurers, financial institutions, banks, and any other institution as may be specified;

(g) shares reserved for issue under options and contracts/commitments for the sale of shares or disinvestment, including the terms and amounts;

(h) For the period of five years immediately preceding the date at which the Balance Sheet is prepared: Aggregate number and class of shares bought back;

(i) terms of any securities convertible into equity shares issued along with the earliest date of conversion in descending order starting from the farthest such date;

(j) The Institution shall disclose information that enables users of its financial statements to evaluate its objectives, policies and processes for managing capital. (Q) Other Equity

(i) Other shall be classified in the notes as:

(a) Capital Redemption Reserve;

(b) Debenture Redemption Reserve;

(d) Others (specify the nature and purpose of each reserve and the amount in respect thereof); (Additions and deductions since last balance sheet to be shown under each of the specified heads)

(ii) Retained Earnings represents surplus i.e. balance of the relevant column in the Statement of Changes in Equity;

(iii) A reserve specifically represented by earmarked investments shall disclose the fact that it is so represented;

(iv) Debit balance of Statement of Profit and Loss shall be shown as a negative fi

(v) Under the sub-he

(vi) Under the subattached to statutory reserves. (R) Contingent Liabilities and commitments (to the extent not provided for)

(i) Contingent Liabilities shall be classified as:

(a) Claims against the institution not acknowledged as debt;

(b) Guarantees excluding financial guarantees/letters of credit; and

(ii) Commitments shall be classified as:

(a) Uncalled liability on shares and other investments partly paid;

(b) Underwriting Commitments; [ II 3(i)] 61

(c) Other commitments (specify nature). (S) The amount of dividends proposed to be distributed to equity shareholders for the period and the related amount per share shall be disclosed separately. (T) Other Classification related General Instructions

1. When the Institution applies an accounting policy retrospectively or makes a restatement of items in the financial statements or when it reclassifies items in its financial statements, in pursuance of requirements of Ind AS, the Institution shall attach to the Balance Sheet, a the beginning of the earliest comparative period presented.

2. Preference shares requirements of the relevant Indian Accounting Standards. Accordingly, the disclosure and presentation requirements in this regard applicable to the relevant class of equity or liability shall be applicable mutatis mutandis to the preference shares. For instance, plain vanila redeemable preference shares shall be the disclosure requirements in this regard applicable to such borrowings shall be applicable mutatis mutandis to redeemable preference shares.

3. Compound financial instruments such as convertible debentures, where split into equity and liability components, as per the requirements of the relevant Indian Accounting Standards, shall be classified and presented under the relevant heads in and Form 3 [See rule 9] Statement of Profit and Loss for the year ended 31st March, (While adopting Ind AS for preparation of accounts) Particulars Note Figures for the current reporting period Figures for the previous reporting period Revenue from operations

(i) Interest Income

(ii) Dividend Income

(iii) Fees and commission Income

(iv) Net gain on fair value changes

(v) Net gain on derecognition of financial instruments under amortised cost category

(vi) Others (to be specified) (I) Total Revenue from operations (II) Other Income (to be specified) (III) Total Income (I+II) Expenses

(i) Finance Costs

(ii) Fees and commission expense

(iii) Net loss on fair value changes

(iv) Net loss on derecognition of financial instruments under amortised cost category

(v) Impairment on financial instruments

(vi) Employee Benefits Expenses

(vii) Depreciation, amortisation and impairment

(viii) Others expenses (to be specified) (IV) Total Expenses (IV) (V) Profit / (loss) before exceptional items and tax (III- IV) 62 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] (VI) Exceptional items (VII) Profit/(loss) before tax (V -VI ) (VIII) Tax Expense:

(2) Current Tax Deferred Tax (IX) Profit/(loss) for the period (X) Other Comprehensive Income A (i) Items that will not be reclassified to profit or loss (specify items and amounts)

(ii) Income tax relating to items that will not be reclassified to profit or loss Subtotal (A) B (i) Items that will be reclassified to profit or loss (specify items and amounts)

(ii) Income tax relating to items that will be reclassified to profit or loss Subtotal (B) Other Comprehensive Income (A + B) (XI) Total Comprehensive Income for the period (XII) Earnings per equity share (for continuing operations) Basic (Rs.) Diluted (Rs.) (XIII) Earnings per equity share (for discontinued operations) Basic (Rs.) Diluted (Rs.) (XIV) Earnings per equity share (for continuing and discontinued operations) Basic (Rs.) Diluted (Rs.) Notes: See accompanying notes to the financial statements. GENERAL INSTRUCTIONS FOR PREPARATION OF STATEMENT OF PROFIT AND LOSS

1. The Statement of Profit and Loss shall include: (A) Profit or loss for the period; (B) Other Comprehensive Income for the period. [ II 3(i)] 63

2. Interest Income: Particulars (Current Year) (Previous Year) On Financial Assets measured at fair value through OCI On Financial Assets measured at Amortised Cost Interest Income on Financial Assets classified at fair value through profit or loss On Financial Assets measured at fair value through OCI On Financial Assets measured at Amortised Cost Interest Income on Financial Assets classified at fair value through profit or loss Interest on Loans Interest income from investments Interest on deposits with Banks Other interest Income Total

3. Net gain/ (loss) on fair value changes* Particulars (Current Year) (Previous Year) (A) Net gain/ (loss) on financial instruments at fair value through profit or loss

(i) On trading portfolio - Investments - Derivatives - Others

(ii) On financial instruments designated at fair value through profit or loss (B) Others (to be specified) Total Net gain/(loss) on fair value changes (C) Fair Value changes: -Realised -Unrealised Total Net gain/(loss) on fair value changes(D) to tally with (C) *Fair value changes in this schedule are other than those arising on account of accrued interest income/expense.

4. Other Income (to be specified) Particulars (Current Year) (Previous Year) Net gain/(loss) on ineffective portion of hedges Net gain/(loss) on derecognition of property, plant and equipment Net gain or loss on foreign currency transaction and translation (other than considered as finance cost) (to be specified) Others (to be specified) * Total * Any item under the exceeds one per cent. of the total income to be presented separately. 64 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)]

5. Finance Costs Particulars (Current Year) (Previous Year) On Financial On Financial On Financial On Financial liabilities measured at fair value through profit or loss liabilities measured at Amortised Cost liabilities measured at fair value through profit or loss liabilities measured at Amortised Cost Interest on deposits Interest on borrowings Interest on debt securities Interest on subordinated liabilities Other interest expense Total Employee Benefits Expenses Particulars (Current Year) (Previous Year) Salaries and wages including bonus Contribution to provident and other funds Staff welfare expenses Others (to be specified) Total

6. Impairment on financial instruments (Current Year) (Previous Year) Particulars On Financial On Financial On Financial On Financial instruments instruments instruments instruments measured at fair measured at measured at fair measured at value through OCI Amortised Cost value through OCI Amortised Cost Loans Investments Others (to be specified) Total

7. Other expenses (to be specified) Particulars (Current Year) (Previous Year) Rent, rates and taxes Electricity and other utilities Repairs and maintenance Communication Costs Printing and stationery Advertisement and publicity fees, allowances and expenses fees and expenses Legal and Professional charges Insurance Other expenditure Total

8. Other Comprehensive Income shall be classified into- (A) Items that will not be reclassified to profit or loss:

(i) Changes in revaluation surplus; [ II 3(i)] 65

(ii) Remeasurements of the defined benefit plans;

(iii) Equity Instruments through Other Comprehensive Income;

(iv) Fair value changes relating to own credit risk of financial liabilities designated at fair value through profit or loss;

(v) Share of Other Comprehensive Income in Associates and Joint Ventures, to the extent not to be classified into profit or loss; and

(vi) Others (specify nature). (B) Items that will be reclassified to profit or loss;

(i) Exchange differences in translating the financial statements of a foreign operation;

(ii) Debt Instruments through Other Comprehensive Income;

(iii) The effective portion of gains and loss on hedging instruments in a cash flow hedge;

(iv) Share of Other Comprehensive Income in Associates and Joint Ventures, to the extent to be classified into profit or loss; and

(v) Others (specify nature).

9. Additional Information: The Institution shall disclose by way of notes, additional information regarding aggregate expenditure and income on the following items:

(i) Depreciation, amortisation and impairment

(ii) payments to the auditor as (a) auditor, (b) for taxation matters, (c) for company law matters, (d) for other services, (e) for reimbursement of expenses; and

(iii) details of items of exceptional nature. GENERAL INSTRUCTIONS FOR PREPARATION OF FINANCIAL STATEMENTS OF NATIONAL BANK FOR FINANCING INFRASTRUCTURE AND DEVELOPMENT (INSTITUTION)

1. National Bank for Financing Infrastructure and Development (the Institution) as defined in the National Bank for Financing Infrastructure and Development Act, 2021, shall prepare its financial statements under Indian Accounting Standards as notified under Companies (Indian Accounting Standards) Rules 2015 and amended from time to time, in accordance with this Schedule or with such modification as may be required under certain circumstances.

2. Where compliance with the requirements of relevant Act, Regulations, Guidelines or Circulars issued by the Reserve Bank of India from time to time including Indian Accounting Standards (Ind AS) (except the option of presenting assets and liabilities in accordance with current, non-current classification as provided by relevant Ind AS) as applicable to the Institution require any change in treatment or disclosure including addition, amendment, substitution or deletion in the head or sub-head or any changes inter se, in the financial statements or statements forming part thereof, the same shall be made and the requirements under this Schedule shall stand modified accordingly.

3. The presentation and disclosure requirements specified in this Schedule are in addition to and not in substitution of the disclosure or presentation requirements specified by the Reserve Bank of India and specified in the Indian Accounting Standards. The Reserve Bank of India may prescribe requirements for any of the components of financial information in addition to that presented in this Schedule. Additional disclosures specified in the Indian Accounting Standards shall be made in the Notes or by way of additional statement or statements unless required to be disclosed on the face of the Financial Statements.

4. (i) Notes shall contain information in addition to that presented in the Financial Statements and shall provide where required-

(a) narrative descriptions or disaggregations of items recognised in those statements; and

(b) information about items that do not qualify for recognition in those statements.

(ii) Each item on the face of the Balance Sheet, Statement of Changes in Equity and Statement of Profit and Loss 66 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] shall be cross-referenced to any related information in the Notes. In preparing the Financial Statements including the Notes, a balance shall be maintained between providing excessive details that may not assist users of Financial Statements and not providing important information as a result of too much aggregation.

5. The unit of measurement of presenting financial statements shall be in Indian Rupees in crores or millions. The unit of measurement shall be used consistently and uniformly in the entire Financial Statements and Notes to Accounts.

6. Financial Statements shall contain the corresponding amounts (comparatives) for the immediately preceding reporting period for all items shown in the Financial Statements including Notes except in the case of first Financial Statements after incorporation.

7. influence the economic decisions that users make on the basis of the financial statements. Materiality depends on the size or nature of the item or a combination of both, to be judged in the particular circumstances.

8. For the purpose of this Schedule, the terms used herein shall have the same meanings assigned to them in Indian Accounting Standards.

9. The Institution preparing financial statements as per this Schedule may change the order of presentation of line items on the face of financial statements or order of line items within the schedules in order of liquidity, if appropriate.

Note: This Schedule sets out the minimum requirements for disclosure on the face of the Financial Statements, i.e., Balance Sheet, Statement of Changes in Equity for the period, the Statement of Profit and Loss for the period (The statement shall be prepared, where applicable, in accordance with the requirements of the relevant Indian Accounting Standard. Line items, sub-line items and sub-totals shall be presented as an addition or substitution on the face of the Financial Statements when such performance as prescribed by the relevant regulator or when required for compliance with the amendments to the relevant statutes or under the Indian Accounting Standards. GENERAL INSTRUCTIONS FOR THE PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS

(1) Where the Institution prepares Consolidated Financial Statements, i.e., consolidated balance sheet, consolidated statement of changes in equity and consolidated statement of profit and loss, the Institution shall mutatis mutandis follow the requirements of this Schedule as applicable to the Institution in the preparation of balance sheet, statement of changes in equity and statement of profit and loss. However, where the consolidated financial statements contains elements pertaining to Institution and other than Institution, mixed basis of presentation may be followed for consolidated financial statements where both kinds of operations are significant. In addition, the consolidated financial statements shall disclose the information as per the requirements specified in the applicable Indian Accounting Standards notified under the Companies (Indian Accounting Standards) Rules 2015, including the following, namely:-

(i) - and loss shall be - loss as allocation for the period. The a statement of changes in equity. In addition to the disclosure requirements in the Indian Accounting Standards, the

(ii) -

(iii) Investments accounted for using the equity method.

(2) In Consolidated Financial Statements, the following shall be disclosed by way of additional information: [ II 3(i)] 67 Name of the entity in the Group Net Assets, i.e., total assets minus total liabilities Share in profit or loss Share in other comprehensive income Share in total comprehensive income As % of consolidate d net assets Amoun t As % of consolidate d profit or loss Amoun t As % of consolidated other comprehensiv e income Amoun t As % of total comprehensiv e income Amoun t Parent Subsidiarie s Indian

2. . Foreign

2. . Noncontrolling Interests in all subsidiaries Associates (Investmen t as per the equity method) Indian

2. . Foreign

2. . Joint Ventures(a s per the equity method) Indian

2. . Foreign

2. . Total

(3) All subsidiaries, associates and joint ventures (whether Indian or foreign) will be covered under consolidated financial statements.

(4) An entity shall disclose the list of subsidiaries or associates or joint ventures which have not been consolidated in 68 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II SEC. 3(i)] the consolidated financial statements along with the reasons of not consolidating. [F. No. 15 /10/2021-IF-I] SAURABH MISHRA, J t. Secy.

Note: The principal rules number G.S.R. 51(E), dated the 28th January, 2022 was published in the Gazette of India, Extraordinary, Part II, Section 3, sub-section (i), dated the 29th January, 2022. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

National Bank for Financing Infrastructure and Development General (Amendment) Rules, 2022

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