The Presidents/Chief Executive Officers

All Banks

Dear Sir/Madam,

Amendment in Domestic Systemically Important Banks (D-SIBs) Framework

1. Please refer to Domestic Systemically Important Banks (D-SIBs) Framework issued as Annexure-A to BPRD Circular No. 04 of April 13, 2018.
2. In view of developments over the last few years on international as well as domestic front, the requirement of Higher Loss Absorbency (HLA) capital surcharge for designated D-SIBs in the form of additional Common Equity Tier 1 (CET1) has been revised. Accordingly, the relevant Para 4.1.2 of Domestic Systemically Important Banks Framework has been revised as under:

4.1.2 The HLA capital surcharge for designated D-SIBs, based on the bucketing approach shall be as follows:

3. All other instructions and requirements as contained in the D-SIBs framework will remain unchanged.
4. Please acknowledge receipt.