Financial Stability Report

Banks seen resilient even under severe stress; capital buffers remain adequate: RBI FSR

Even under stress, none of the banks is expected to breach the minimum regulatory CRAR requirement of 9 percent, though two banks may need to dip into the capital conservation buffer (CCB) under adverse scenario 1 and four banks under adverse scenario 2, in the absence of fresh capital infusion.

Stablecoin market triples to $300 billion in 2 years, RBI flags risks to monetary sovereignty

Regulators warn that privately issued digital money could undermine trust, trigger runs and weaken monetary policy transmission

Insurers cut sovereign bond share to 59.7%, raise equity exposure to Rs 16.6 lakh crore

Within insurers’ portfolios, the share of G-Secs declined marginally to 39.5 percent from 40.3 percent, while SGS fell to 20.2 percent from 21.4 percent

Chart of the Day: Financial stability from the banking prism

India’s banks are in the pink of health and would remain so in FY25 as well, according to the RBI.

RBI's financial stability report shows India’s banks are resilient, but its markets are yet to be

High capital, profitability and low bad loans characterise banks’ resilience, but India’s capital markets are still vulnerable

Few NBFCs with low capital buffers growing at rapid pace warrants close monitoring: RBI report

On an incremental basis, bank lending to NBFCs declined in H2FY24 even as the latter’s overall cost of funds increased, said Reserve Bank of India’s financial stability report

Banks' unrealised losses on HTM portfolio securities decline in March: RBI financial stability report

Banks held 64.6 percent of their investments in the HTM category, which is not subject to mark-to-market valuation, the report has said

Rapid private credit growth, growing 'interconnectedness' with banks and NBFIs can create vulnerabilities: RBI report

Private credit, essentially provided by non-bank lenders to corporates on a bilateral basis, has grown four-fold over the last ten years, the RBI's financial stability report has said

Why never-better bank balance sheets aren’t enough for the RBI

The RBI has said that while a closely linked financial system is efficient and desirable, such links must be monitored as they can also become sources of stress at best and of instability at worst.