Monday, February 20, 2012

Govt to provide adequate capital to PSU banks: Pranab

.... To strengthen risk management mechanism, RBI has issued issued draft guidelines, envisaging that the equity capital of a bank should not be less than 5.5 per cent of risk-weighted loans. These guidelines envisaged more stringent norms on capital adequacy, Mukherjee said, adding, "on our part, the government has committed to maintain the minimum 8 per cent Tier I (equity capital) in all public sector banks which is over and above the regulatory requirement of 6 per cent.".....

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