The Reserve Bank of India (RBI) has updated the Reserve Bank of India (Commercial Banks – Prudential Norms on Capital Adequacy) Directions, 2025, as on October 7, 2026.
The Directions prescribe the regulatory framework for capital adequacy, regulatory capital, risk-weighted assets, capital buffers, leverage ratio, and supervisory review applicable to commercial banks.
They require banks to maintain capital adequacy at both standalone (Solo) and consolidated (Group) levels, with specific requirements for regulatory adjustments and capital instruments.
Banks must also have Board-approved policies covering their Internal Capital Adequacy Assessment Process (ICAAP), capital planning, and disclosure policies, with the Board required to review the ICAAP at least annually.
