← 25 October 2026's Current Affairs · Economy GA Prelims ★★★★☆ Mains ★★★☆☆
RBI finalises Leverage Ratio 2017 Standard for banks
ಸುದ್ದಿಯಲ್ಲಿ ಏಕೆ?
Which global body's leverage ratio did RBI just finalise? The Basel norms every GS-III banking answer needs
RBI issues final directions on the Basel Leverage Ratio 2017 Standard.
Why it matters: factual, Prelims-type
What you need to know
2 ನಿಮಿಷ
The Reserve Bank of India has issued final amendment directions implementing the Basel Committee on Banking Supervision's Leverage Ratio 2017 Standard for commercial banks.
The draft, issued on 7 August 2026, drew feedback until 28 August, and the final text incorporates changes made after reviewing it.
ಮೂಲಗಳು: Topper IAS editorial (PIB / The Hindu / Indian Express)
ಮುಖ್ಯ ಅಂಶಗಳು
Remember these
- RBI has issued final amendment directions implementing the Basel Committee on Banking Supervision's Leverage Ratio 2017 Standard for commercial banks.
- The draft was issued on 7 August 2026; feedback was invited until 28 August.
- The final text incorporates changes made after reviewing the feedback received.
- The Basel Committee on Banking Supervision is the global standard-setter for prudential regulation of banks; it is hosted by the Bank for International Settlements.
- The leverage ratio is a non-risk-based backstop that compares a bank's capital (Tier 1) with its total exposure, complementing risk-weighted capital adequacy norms.
ಪ್ರಿಲಿಮ್ಸ್ · ಮೇನ್ಸ್
How the exam will ask it
ಪ್ರಿಲಿಮ್ಸ್
- The leverage ratio is a non-risk-based measure, designed as a backstop to risk-based capital requirements.
- The leverage ratio framework originates from the Basel Committee on Banking Supervision, not from the FSB, IOSCO or FATF.
- The Reserve Bank of India is the regulator that issues directions to commercial banks to implement Basel standards in India.
- The leverage ratio compares Tier 1 capital with a bank's total exposure, including certain off-balance-sheet items.
ಮೇನ್ಸ್
GS-III (Banking and regulation): Risk-weighted capital norms can be gamed through low risk weights, which led Basel to add a simple non-risk-based leverage ratio as a backstop. RBI's final directions align Indian commercial banks with this international standard after a consultation process (draft on 7 August, feedback till 28 August). The implication is stronger resilience and comparability of banks; the way forward is calibrated implementation that does not constrain credit growth, with strong supervision and transparent disclosure.
Quick recall
Answer before you reveal
ವಾಣಿಜ್ಯ ಬ್ಯಾಂಕುಗಳಿಗೆ RBI ಇತ್ತೀಚೆಗೆ ಅಂತಿಮ ನಿರ್ದೇಶನ ಹೊರಡಿಸಿದ ಲಿವರೇಜ್ ರೇಶಿಯೊ 2017 ಮಾನದಂಡವು ಯಾವ ಅಂತರರಾಷ್ಟ್ರೀಯ ಸಂಸ್ಥೆಯ ಚೌಕಟ್ಟಿನಿಂದ ಬಂದಿದೆ?
- ಹಣಕಾಸು ಸ್ಥಿರತೆ ಮಂಡಳಿ
- ಅಂತರರಾಷ್ಟ್ರೀಯ ಸೆಕ್ಯುರಿಟೀಸ್ ಆಯೋಗಗಳ ಸಂಘಟನೆ
- ಹಣಕಾಸು ಕ್ರಿಯಾ ಕಾರ್ಯಪಡೆ
- ಬ್ಯಾಂಕಿಂಗ್ ಮೇಲ್ವಿಚಾರಣೆಯ ಬಾಸೆಲ್ ಸಮಿತಿ
ಉತ್ತರ ನೋಡಿ
ಉತ್ತರ: D — ಸರಿ: ಬ್ಯಾಂಕಿಂಗ್ ಮೇಲ್ವಿಚಾರಣೆಯ ಬಾಸೆಲ್ ಸಮಿತಿ
Convert this topic into marks
Today's 10-MCQ test · instant analysis · Powered by AdaptIQ