It stands for non-bank financial institution; a financial institution (FI) that provides an array of services, similar to those provided by banks but particularly excluding deposit taking (financial intermediation). Non-bank financial institutions provide financial services like loan extension and credit facilities, but are not licensed as banks. Non-bank institutions are not allowed to take deposits from the public or offer banking facilities such as overdrafts. The lending criteria applied by non-banks may be less restrictive than those usually adopted by banks. Essentially due to inability to take deposits, non-banks do not play a role in money creation in the country in which these institutions operate.

Examples of non-banks include investment funds, insurance companies, pension funds and other types of financial intermediaries.