The Reserve Bank of India (RBI) on Monday said RBL Bank is well capitalised and its financial position remains satisfactory. As such, there is no need for depositors and other stakeholders to react to the speculative reports, the Central bank said, adding the Bank’s financial health remains stable.

This statement comes amid speculation relating to the Bank in certain quarters, which RBI said appears to be arising from recent events surrounding the Bank.

The RBI last week appointed an additional director – its Chief General Manager Yogesh K Dayal – on the Bank’s board and its MD & CEO, Vishwavir Ahuja, proceeded on medical leave.

Also read: ‘RBL Bank has RBI’s full support’

Referring to RBL Bank’s half yearly audited results as on September 30, 2021, RBI said the Bank has maintained a comfortable capital adequacy ratio of 16.33 per cent and provision coverage ratio of 76.6 per cent. The liquidity coverage ratio (LCR) of the Bank is 153 per cent as on December 24, 2021 as against regulatory requirement of 100 per cent.

Appointment of Additional Director

Further, the Central bank clarified that appointment of Additional Director/s 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.

RBL Bank and its management team has full support of the RBI, interim MD & CEO Rajeev Ahuja said on December 26. He emphasised that the Bank has excess liquidity of about ₹15,000 crore, refinance from RBI and the Bank lines to manage any volatility in deposits.

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