The Reserve Bank of India (RBI) on October 07, 2026, issued the Reserve Bank of India (Commercial Banks – Prudential Norms on Capital Adequacy) Twelfth Amendment Directions, 2026, to amend the Reserve Bank of India (Commercial Banks - Prudential Norms on Capital Adequacy) Directions, 2025.
The following has been stated: -
•The RBI has issued the Twelfth Amendment Directions, 2026 to align capital adequacy requirements with international standards.
•The amendment revises the risk-weight treatment for clearing member banks’ trade exposure to Qualified Central Counterparties (QCCPs), including a 2% risk weight for specified OTC derivatives, exchange-traded derivatives and securities financing transactions.
•It also revises the treatment of incurred CVA losses for determining exposure at default, based on amounts recognised in financial statements.
•The amendment comes into effect from October 07, 2026.
The detailed notification is given in the document below.
[Notification No.: RBI/2026-27/286 DOR.MRG.REC.No.242/00-00-001/2026-27]
