Lenders well capitalized, liquidity coverage ratio higher than required: Regulator
The Reserve Bank of India (RBI) on Monday said the financial position of RBL Bank Ltd remains ‘satisfactory’ and depositors need not worry.
“There has been speculation in certain quarters relating to RBL Bank Limited, which appears to have arisen from the recent developments around the Bank,” RBI said in a statement.
On Monday, the bank’s stock fell 18.3% to ₹ 140.90 on the BSE.
“The bank is well capitalized and the financial position of the bank remains satisfactory. As per the half-yearly audited results as on September 30, 2021, the bank has maintained a comfortable capital adequacy ratio of 16.33% and provision coverage ratio of 76.6%,” it said.
It said, “The Bank’s Liquidity Coverage Ratio (LCR) as on December 24, 2021 is 153%, while the regulatory requirement is 100%.” “There is no need for depositors and other stakeholders to react to speculative reports. The financial position of the bank remains stable,” RBI said.
RBI also clarified that “additional directors are appointed in private banks … as and when it is felt that the Board requires close support in regulatory/supervisory matters.”
On 24 December, RBI appointed Yogesh K Dayal, Chief General Manager, RBI as additional director on the bank’s board with a tenure of two years.
The next day, the Board accepted the request of its MD and CEO Vishwavir Ahuja to go on leave with immediate effect. The board also appointed Executive Director Rajiv Ahuja as interim MD and CEO.
,