BANKING AFFAIRS

Detailed explanation-1: -The top three Indian lenders-State Bank of India, ICICI Bank, and HDFC Bank-stayed Domestic Systemically Important Banks (D-SIBs) for the banking regulator as the Reserve Bank of India (RBI) lists out lenders that are too big to fail.

Detailed explanation-2: -State Bank of India, ICICI Bank, and HDFC Bank continue to be identified as Domestic Systemically Important Banks (D-SIBs), under the same bucketing structure as in the 2021 list of D-SIBs.

Detailed explanation-3: -Mumbai: The RBI on Monday said state-owned SBI, along with private sector lenders ICICI Bank and HDFC Bank continue to be Domestic Systemically Important Banks (D-SIBs) or institutions which are ‘too big to fail’. SIBs are perceived as banks that are ‘too big to fail (TBTF)’.

Detailed explanation-4: -On Monday, the Reserve Bank of India (RBI) issued its list of Domestic Systemically Important Banks (D-SIBs) for 2021. In line with the 2020 list of D-SIBs, SBI, ICICI Bank, and HDFC Bank are still categorized as Domestic Systemically Important Banks (D-SIBs), according to the central bank.

Detailed explanation-5: -A D-SIB is a bank that is considered to be so important to the financial system that its failure could cause significant disruption. As a result, these banks are required to maintain higher capital buffers to protect against potential losses and ensure their stability.