RBI proposes Indian bank leverage floors D-SIBs 4% others 3.5%
The Reserve Bank of India (RBI) is planning new rules that make banks hold more capital as a cushion, so they're better prepared for tough times.
Domestic systemically important banks (D-SIBs) in India will need to keep at least a 4% leverage ratio, while other banks must hold 3.5%.
These changes are part of RBI's push to match global standards and keep the banking system strong.
RBI seeks feedback on exposure rules
RBI also wants banks to count things like off-balance-sheet items and risky trades when figuring out their exposure, making the numbers clearer and harder to fudge.
They're asking for feedback on these draft rules by August 28, 2026, with plans to roll them out from April 1, 2027.
A branch of a global systemically important bank (G-SIB) in India will have similar requirements plus extra buffers set by the home country's regulator: if they don't comply, perks like dividends or bonuses could be restricted.