Indian banks do not have $ 65 billion for Basel-3 norms: Fitch

Indian banks require additional capital of about 4.22 lakh crores ($ 65 billion) to meet the Basel-3 rules. All the banks are required to complete these rules by March 2019. Rating agency Fitch Ratings said this on Tuesday.  The amount that has been reported from Fitch for Basel-3 rules is now much less than the amount mentioned earlier. Earlier, the agency had told the 90 billion dollar capital requirement. Fitch has said that by 2019 banks must fully implement Basel-3 rules. According to rating agency, the weakening of the capital has a negative impact on the bank's rating.

                                             
Fitch said that public sector banks have limited options to raise capital as per the requirement. According to the agency, these banks have a shortage of 95% compared to the required capital.