New Delhi: A high powered committee under Financial Stability and Development Council (FSDC) has been set up to find ways for the banking sector to comply with Basel III capital norms.
The decision was taken at sub-committee meeting of FSDC here Friday chaired by RBI Governor Raguram Rajan.
"The Sub Committee...Discussed the capital requirements of the banking sector over the next five years in view of the Basel III regulations and requirements for supervisory capital and decided to set up a High Powered Inter Regulatory Committee to explore ways of enabling banks to meet these requirements," an RBI release said.
Recently, Finance Minister P Chidamabram had said that all banks satisfy the global capital adequacy norms (Basel III) and the government will keep on providing additional capital to the banks.
Among others, the FSDC meeting also discussed implementing non-legislative recommendations of FSLRC and setting up a repository for investors with a single view of all financial asset classes.
Also, it discussed about ways for setting up an effective resolution regime for the financial sector. Issues of greater harmonisation of regulations across sectors for similar activities were also taken up.
The meeting also saw dicusssions on the report of the working group on 'Resolution Regimes' chaired by RBI Deputy Governor Anand Sinha and Economic Affairs Secretary Arvind Mayaram.
The meeting was attended by Finance Secretary Sumit Bose, Banking Secretary Rajiv Takru, Sebi Chairman UK Sinha, Irda Chairman T S Vijayan, FMC Chairman Ramesh Abhishek, PFRDA Chairman Anup Wadhawan.
Among others, RBI Deputy Governors- K C Chakrabarty, H R Khan, Urjit Patel were also present in the meeting.