RBI ISSUES AMENDMENT DIRECTIONS ON 'REVIEW OF GUIDELINES ON INCLUSION OF QUARTERLY PROFITS TO COMMON EQUITY TIER 1 (CET1) CAPITAL FOR COMPUTATION OF CAPITAL TO RISK WEIGHTED ASSETS RATIO (CRAR) FOR BANKS'

MUMBAI, India, May 8 -- Reserve Bank of India issued the following press release:

Reserve Bank had, on April 08, 2026, issued three draft Amendment Directions on 'Review of guidelines on inclusion of quarterly profits to Common Equity Tier 1 (CET1) capital for computation of Capital to Risk weighted Assets Ratio (CRAR) for Banks' seeking feedback from stakeholders. Currently, Commercial Banks (excluding Local Area Banks and Regional Rural Banks) may reckon the profits in current financial year for CRAR calculation on a quarterly basis provided the incremental provisions made for non-performing assets (NPAs) at the end of the any of the four quarters of the previous financial year have not deviated more than 25 per cent from the average of ...