Public sector United Bank of India has raised Rs 200 crore to add up to its tier-I capital under Basel III regulations.
Demonetisation, capital constraints and spike in bad loans has hit the government-owned IDBI Bank hard as its net loss widened to Rs 2255 crore in the October to December period.
United Bank of India today got shareholders' approval to allot 1.37 crore equity shares on preferential allotment basis to the government.
The Reserve Bank of India (RBI) on Wednesday directed Indian banks to maintain a minimum tier I capital or core capital which is equity and reserve under the final guidelines on Basel-III capital regulations. Moreover, the regulator, for the first time, asked lenders to keep a capital conservation buffer of 2.50%.
Private sector lender Development Credit Bank (DCB) on Wednesday raised around Rs. 94 crore of tier-I capital through a qualified institutions placement (QIP). As of December 31, 2011, DCB Bank’s capital adequacy ratio was 13.00% (of which Tier I capital was 11.15%).
Corporation Bank and Bank of Baroda today said they are expecting significant amount of fund from the government's Rs 6,000-crore budgeted capital infusion plan for weak public sector banks for next fiscal, to shore up their Tier I capital