Foreign banks seek clarity on parent guarantee rules, restriction on dividend payments

.....Foreign banks have sought clarity from RBI on having to produce a letter of comfort from their parents for all liability. This (letter of comfort), foreign banks said, could have capital implications for their parents. There's also restriction on dividend payout unlike the earlier practice where there was no restriction. "We have been a high-dividend paying company with a consistent track record. We never held back dividend even during the financial crisis. For us, that's a much bigger .. ..............

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