Date: Oct 31, 2005 Proposal: Regulation Y-Capital Adequacy - federalreserve-2025

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  1. Click ‘Get Form’ to open it in the editor.
  2. Begin by filling in the 'Document ID' field with R-1235, followed by the 'Document Version' as 1 and 'Release Date' as 09/07/2005.
  3. Enter your personal details in the 'Name', 'Affiliation', and 'Category of Affiliation' fields. For example, you can input Steven L Afdahl, Green Belt Bancorporation, and Commercial respectively.
  4. Complete your address information including 'Address', 'City', 'State', 'Country', and 'Zip'. For instance, use PO Box 790, Iowa Falls, IA, UNITED STATES, and 50126.
  5. In the comments section, articulate your position regarding the proposal. You may reference your support for increasing the Small Bank Holding Company threshold and provide detailed reasoning.

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Current Repo Rate in India 2025 As of August 6th, 2025, the RBI in its Monetary Policy Committee (MPC) meeting decided to maintain the repo rate at 5.50%. The neutral policy stance continues in its August monetary policy statement inspite of the evolving tariff situation.
More Rate Cuts Ahead The broader set of FOMC projections shows that the median participant expects the rate to hit 3.50%-3.75% by the end of 2025, in line with current market expectations. The rate is expected to drop further to 3.25%-3.50% by the end of 2026.
A Basel III compliant bank must demonstrate: Adequate Capital Levels: The bank must maintain the minimum required levels of CET1, Tier 1, and Total Capital ratios, ensuring it has enough high-quality capital to absorb losses.
The minimum CRAR requirement differs by country. Under Basel III norms, its generally set at 8%. In India, the Reserve Bank of India mandates a minimum of 9% for commercial banks. These limits ensure banks have enough buffer to manage unexpected financial stress or credit risk.
This Prudential Standard requires an authorised deposit-taking institution (ADI) to maintain adequate capital, on both a Level 1 and Level 2 basis, to act as a buffer against the risk associated with its activities.
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RBI has prescribed banks to maintain a minimum CRAR of 11.50% with regard to credit risk, market risk and operational risk as on 30.06. 2025.
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