RBI
RBI – It is the duty of RBI to supervise the banking industry. That’s why he was doing a lot of hard work before the bank failed. In such a situation, today we will tell you about the best banks mentioned by RBI in this report.
India’s banking sector is huge. This includes many types of banks such as government banks, private banks, small finance banks, cooperative banks, rural banks and payments banks. All these things will continue to work well and the money of the people will be saved, the responsibility is in the hands of the Reserve Bank of India (RBI).
That is why whenever there is a risk of bank failure, RBI takes strict measures early. As was done in the case of increased NPA of Yes Bank or other government banks. Now the Reserve Bank has released a list of 3 such banks in the country, which cannot fail.
Also Read: 5 Reasons You Need a Family Business Succession Planning Consultant. The Reserve Bank says that the country’s largest bank, the State Bank of India (SBI), is the largest bank (D-SIB) in the national system. Two private banks ICICI Bank and HDFC Bank are also in this list. Such D-SIBs are called banks, which are too big to fail, i.e. they are known as Too Big To Fail Banks.
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What is the specialty of these banks? Under the “too big to fail” banking concept, it is expected that when these banks get into trouble, the government will support them and protect them from bankruptcy. This is why these banks are acquiring other companies in the financial market and the trust of the customers is increasing in these banks.
RBI said in a statement that SBI, ICICI Bank and HDFC Bank remain in the list based on the parameters of the D-SIB list 2021. RBI declared SBI in 2015 and ICICI Bank in 2016 as CODI-SIB. HDFC Bank has been included in this category based on the data collected till March 31, 2017. The Reserve Bank has recently updated the current list based on the data collected from the banks till March 31, 2022. The Reserve Bank of India has introduced a process for determining D-SIBs in July 2014. Under this process, the RBI will disclose the names of banks declared as D-SIBs.
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