RBI says banks sufficiently capitalised

Reuters Updated - December 07, 2021 at 01:53 AM.

Reserve Bank of India Deputy Governor R. Gandhi

Public sector banks are currently "sufficiently" capitalised, but it would be better if the Government injects them with more capital this fiscal year, Reserve Bank of India Deputy Governor R. Gandhi said on Friday.

Gandhi said the banks would need more capital to meet the global Basel III regulatory requirements.

New Delhi has budgeted $1.25 billion to infuse into state lenders in the year ending March 2016, but Finance Secretary Rajiv Mehrishi this week said the government plans to more than double the amount to $3 billion.

Ratings agency Fitch estimates Indian lenders need more than $200 billion to prepare for the full implementation of the new Basel requirements in the next four years.

Published on June 26, 2015 06:41