PNB’S CAPITAL ADEQUACY BELOW REGULATORY REQUIREMENT

NEW DELHI:

Fraud-hit Punjab National Bank’s capital adequacy has fallen short of the regulatory requirement of RBI due to unprecedented loss in the fourth quarter of 2017-18. At the end of March, 2018, total capital ratio as per the Basel- III requirement declined to 9.20% as against 11.66% at the end of March 2017. On consolidated basis, it slipped to 9.82% as against 11.98% during the same period. As per the RBI’s norms, the total capital adequacy, including counter-cyclical buffer should be upwards of 11.5%.