The minimum capital requirements for Nidhi firms have been reassessed to enhance financial stability and ensure sustainable operations. These companies, which function as mutual benefit societies, must now maintain a stronger capital base to protect depositors and reduce operational risks. The updated regulations aim to improve the overall financial health of Nidhi firms while encouraging greater transparency and responsible governance.  

The revision reflects the need for stronger safeguards in the sector, particularly in light of evolving economic conditions. By raising the minimum capital threshold, regulators intend to minimize insolvency risks and bolster trust among investors and depositors. This adjustment is part of broader efforts to promote long-term stability and reduce vulnerabilities in non-banking financial entities.  

Nidhi firms serve a vital role in providing financial access to underserved segments, and the revised capital norms ensure their continued resilience. The changes also incentivize better risk management practices and stronger corporate governance. By aligning capital requirements with modern financial standards, the reassessment supports the sector’s growth while reinforcing its ability to withstand economic fluctuations.