Implementation of Basel III Capital Regulations in India – Revised Framework for Leverage Ratio

RBI/2014-15/396
DBR.No.BP.BC.58/21.06.201/2014-15

January 8, 2015

The Chairman and Managing Director/
Chief Executive Officer
All Scheduled Commercial Banks
(Excluding Regional Rural Banks and Local Area Banks)

Madam / Sir,

Implementation of Basel III Capital Regulations in India – Revised Framework for Leverage Ratio

Please refer to paragraph 20 of the Fourth Bi-Monthly Monetary Policy Statement, 2014-15 announced on September 30, 2014. It was indicated therein that revised guidelines on leverage ratio (LR) framework and attendant disclosure requirements, drawing on the BCBS’s January 2014 paper, will also be issued so as to enable public disclosure of the leverage ratio.

2. The revised framework for leverage ratio is enclosed. It replaces the “Part E: Leverage Ratio Framework” in the Master Circular DBOD.No.BP.BC.6/ 21.06.201/2014-15 dated July 1, 2014 on Basel III Capital Regulations. These guidelines will come into effect from April 1, 2015.

Yours faithfully,

(Sudarshan Sen)
Chief General Manager-in-Charge

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