Upper-layer NBFCs consist of systemically significant firms that are subject to more rigorous monitoring by the RBI because of their scale and economic influence. Under the central bank's updated framework, Tata Sons is likely to remain within this classification. This designation is important because being an upper-layer NBFC can lead to more stringent regulatory demands and might necessitate a public listing. Notably, Tata Sons remains the sole private entity included in this group.

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