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      Question

      How many additional capital buffers will HDFC Bank need

      to maintain as per the D-SIB framework from April 1, 2025?
      A 0.40% of risk-weighted assets Correct Answer Incorrect Answer
      B 0.60% of risk-weighted assets Correct Answer Incorrect Answer
      C 0.80% of risk-weighted assets Correct Answer Incorrect Answer
      D 0.20% of risk-weighted assets Correct Answer Incorrect Answer
      E None Correct Answer Incorrect Answer

      Solution

      HDFC Bank will increase its additional capital requirement to 0.40% of risk-weighted assets from the current 0.20% starting April 1, 2025. This is in alignment with the RBI’s D-SIB framework to ensure sufficient capital reserves for systemically important banks.

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