MoS Finance Anurag Thakur 
Business

Minister: RBI hasn’t told banks to raise capital to prevent NPAs

The RBI has not asked banks and non-banking financial institutions to raise capital to brace for a possible pile up in bad debt in the coming months, Minister of State for Finance Anurag Thakur informed the Rajya Sabha.

migrator

New Delhi

But, he said, “banks and non-banking financial institutions are required to maintain capital as per prudential capital adequacy norms on an ongoing basis.”RBI Governor Shaktikanta Das at an event in July had advised banks need to raise capital on anticipatory basis to build up adequate capital buffers to mitigate risks arising out of coronavirus outbreak. Das had urged banks to improve their governance, sharpen risk management skills. 

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