The Reserve Bank of India (RBI) on September 21, 2023, issued a notification regarding the issuance of Master Direction - Reserve Bank of India (Prudential Regulations on Basel III Capital Framework, Exposure Norms, Significant Investments, Classification, Valuation and Operation of Investment Portfolio Norms and Resource Raising Norms for All India Financial Institutions) Directions, 2023
These Directions shall be applicable with effect from April 01, 2024.
The following has been stated namely: -
• These Directions shall be applicable to the All India Financial Institutions (AIFIs) regulated by the Reserve Bank, viz. the Export-Import Bank of India (EXIM Bank), the National Bank for Agriculture and Rural Development (NABARD), the National Bank for Financing Infrastructure and Development (NaBFID), the National Housing Bank (NHB) and the Small Industries Development Bank of India (SIDBI)
• Part A lays down the Guidelines on Minimum Capital Requirement
• Part B states regarding the Supervisory Review and Evaluation Process (SREP)
• Part C incorporates the guidelines pertaining to Market Discipline
• Part D encompasses the Leverage Ratio Framework
[Notification No. RBI/DoR/2023-24/105 DoR.FIN.REC.40/01.02.000/2023-24]
