RBI Directed Indian Banks To Maintain Tier I Capital
The Reserve Bank of India on 2 May 2012 published guidelines of implementation of the new global capital adequacy norms, called Basel-III, by March 2018. India banks will have to maintain Tier-I capital, or core capital of at least 7% of their risk weighted assets on an ongoing basis. The objective is to strengthen risk management mechanism . As per the guidelines specified by the central bank, commercial banks will have to maintain their total capital adequacy ratio at 9% higher than the minimum recommended requirement of 8% under the Basel- III norms.
No comments:
Post a Comment