Tribune News Service
New Delhi, December 27
The RBI on Monday said the RBL Bank is well-capitalised and its financial position is satisfactory. There has been speculation relating to the RBL Bank in certain quarters which appears to be arising from recent events surrounding the bank.
Shares of RBL Bank crashed by over 18% to hit a new 52-week low after the RBI, in an unexpected move, appointed its chief general manager Yogesh Dayal as an additional director on the Board of RBL Bank. This appointment coincided with the bank’s MD and CEO Vishwavir Ahuja suddenly going on leave which is seen as a prelude to his final exit.
The RBI said as per half yearly audited financial results, RBL Bank has maintained a comfortable Capital Adequacy Ratio of 16.33% and Provision Coverage Ratio of 76.6%. The Liquidity Coverage Ratio of the bank is 153% as on December 24, 2021 as against regulatory requirement of 100%.
Further, it clarified that the appointment of additional directors in private banks is undertaken under Section 36AB of the Banking Regulation Act, 1949 as and when it is felt that the Board needs closer support in regulatory/supervisory matters.
“As such, there is no need for depositors and other stakeholders to react to the speculative reports. The bank’s financial health remains stable,” said the RBI statement.
The RBL management, in a conference call, said the going on leave of its MD was his personal decision and a committee will soon suggest potential candidates for RBI’s consideration.
Capital Adequacy Ratio 16.33%
- As per half yearly audited financial results, RBL Bank has maintained a comfortable Capital Adequacy Ratio of 16.33% and Provision Coverage Ratio of 76.6%
- The Liquidity Coverage Ratio of the bank is 153% as on December 24, 2021 as against regulatory requirement of 100%
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