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      Question

      Under the First Pillar of the globally recognized Basel

      II framework, what is the internationally mandated Minimum Capital Adequacy Ratio (CAR) for banks?
      A 8% Correct Answer Incorrect Answer
      B 9% Correct Answer Incorrect Answer
      C 10% Correct Answer Incorrect Answer
      D 11.5% Correct Answer Incorrect Answer
      E 12% Correct Answer Incorrect Answer

      Solution

      The Basel Committee mandates a minimum Capital Adequacy Ratio of 8% for banks globally. However, the RBI is more stringent and requires Indian banks to maintain a minimum of 9%.

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