RBI Working Paper Series 2: Indian banks could be more competitive on lending front if they achieve 100 per cent NSFR - RBI - Reserve Bank of India
RBI Working Paper Series 2: Indian banks could be more competitive on lending front if they achieve 100 per cent NSFR
The Reserve Bank of India today placed on its website a Working Paper titled “Net Stable Funding Ratio – An Estimate for Scheduled Commercial Banks in India” under the Reserve Bank of India Working Paper Series*. The working paper has been authored by Dr. P. Bhuyan and Dr. A.K. Srimany. Net Stable Funding Ratio (NSFR) is one of the two new liquidity ratios introduced by the Basel Committee on Banking Supervision (BCBS) after the financial crisis that began in 2007. NSFR defined as percentage ratio of available stable fund to required stable fund divulges liquidity risk in medium and longer term horizon and should be greater than 100. This paper estimates the ratio for scheduled commercial banks (SCBs) in India at end March 2012 based on the guidelines issued by Basel Committee on Banking Supervision (BCBS). Major findings of the study are:
*The Reserve Bank of India introduced the RBI Working Papers series in March 2011. These papers present research in progress of the staff members of the Reserve Bank and are disseminated to elicit comments and further debate. The views expressed in these papers are those of authors and not of the Reserve Bank of India. Comments and observations may kindly be forwarded to authors. Citation and use of such papers should take into account its provisional character. Sangeeta Das Press Release : 2013-2014/1539 |