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      Question

      AIFI like Exim Bank need to maintain a minimum capital

      adequacy ratio of _____ as per a recently released draft by RBI.
      A 7% Correct Answer Incorrect Answer
      B 9% Correct Answer Incorrect Answer
      C 11% Correct Answer Incorrect Answer
      D 12% Correct Answer Incorrect Answer
      E 15% Correct Answer Incorrect Answer

      Solution

      AIFIs are required to maintain a minimum Pillar 1 Capital to Risk-weighted Assets Ratio (CRAR) of 9% on an on-going basis (other than capital conservation buffer and countercyclical capital buffer etc.). These institutions should have minimum total capital at nine per cent from 1 April 2022.

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