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    Question

    In ‘CAMELS’  what does C stand

    for?
    A Capital Correct Answer Incorrect Answer
    B Capital adequacy Correct Answer Incorrect Answer
    C Core capital Correct Answer Incorrect Answer
    D Capital reserve Correct Answer Incorrect Answer
    E Called up capital Correct Answer Incorrect Answer

    Solution

    CAMELS is a supervisory rating model that analyses banks/financial institutions on 6 parameters as follows: C = capital adequacy A = Asset quality M = Management E = Earnings L = Liquidity S = Systems and controls In India, the CAMELS approach was recommended by S. Padmanabhan Committee (1995) and adopted by RBI for domestic banks since July 1998 However, in 2012, the KC Chakrabarty Committee recommended a Risk Based Supervisory (RBS) system

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