India cenbank assures banking sector resilient and stable amid Adani rout
Adds details
BENGALURU, Feb 3 (Reuters) -The Reserve Bank of India (RBI) said on Friday that the country's banking system remains resilient and stable, amid concerns about the exposure of lenders to the embattled Adani Group.
"Various parameters relating to capital adequacy, asset quality, liquidity, provision coverage and profitability are healthy. Banks are also in compliance with the Large Exposure Framework guidelines issued by the RBI," the central bank said.
The RBI added it remains vigilant and continues to monitor the stability of the country's banking sector.
The RBI said it was issuing the comments as there had "been media reports expressing concern about the exposures of Indian banks to a business conglomerate". It did not name the Adani Group.
The rare statement from the central bank comes amid concerns that the free-fall in shares of Adani group companies in response to Hindenburg Research's report last week suggestsa risk lurking for India's banking sector, which is just emerging from a decade-long clean-up of bad loans.
Over this period, the RBI has built a database of exposure of Indian banks to large corporates, intended to act as an early warning system for system risk. This, it said on Friday, is used for monitoring purposes.
Indian banks' exposure to the Adani group is estimated at 0.5% of total loans by Jefferies, andCLSA estimates the local lenders hold less than 40% of the 2.1 trillion rupees ($25.73 billion) debt of the five largest Adani group companies.
Still, shares of large banks fell in response to the rout in Adani group stocks, with the Nifty Bank index .NSEBANK dropping 2.9% since the Hindenburg report was released, while the blue-chip Nifty 50 .NSEI shedding 1.5%.
Indian banks, too, have come out to ease concerns.
On Friday, India's largest lender State Bank of India (SBI)said its exposure to the group was at 270 billion rupees or 0.9% of total loans. There is "nothing so far" that is concerning regarding SBI's exposure to the group, said Chairman Dinesh Khara on the sidelines of the bank's earnings release.
State-owned Bank of Baroda said its exposure was a quarter of the maximum permissible limit, with Chief Executive Officer SanjivChadha adding that there is "absolutely no concern" about exposure to the Adani group.
While most bankers have maintained that they do not see an imminent risk of default from Adani group companies, they have tightened scrutiny of any fresh loan requests that might come from the group.
Reporting by Chris Thomas in Bengaluru and Ira Dugal in Mumbai; Editing by Rashmi Aich
免責聲明: XM Group提供線上交易平台的登入和執行服務，允許個人查看和/或使用網站所提供的內容，但不進行任何更改或擴展其服務和訪問權限，並受以下條款與條例約束：（i）條款與條例；（ii）風險提示；（iii）完全免責聲明。網站內部所提供的所有資訊，僅限於一般資訊用途。請注意，我們所有的線上交易平台內容並不構成，也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料，僅適用於教育/資訊類用途，不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議，或是交易價格紀錄，或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容，包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接，皆爲‘按原狀’，並作爲一般市場評論所提供，而非投資建議。請理解和接受，所有被歸類為投資研究範圍的相關内容，並非爲了促進投資研究獨立性，而根據法律要求所編寫，而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊，相關詳情請點擊 這裡查看。
