Sebi tweaks disclosure norms for listed banks
1 min read 18 Jul 2019, 05:55 PM ISTThe changes made in the disclosure norms are in line with the revised RBI requirementsAs per the circular, listed banks will have to disclose to the stock exchanges divergences in the asset classification
PremiumNEW DELHI : Markets regulator Sebi has revised the disclosure requirements for listed banks regarding divergence in provisioning of assets.
The changes made in the disclosure norms are "in line with the revised RBI requirements," the regulator said in a circular dated July 17.
As per the circular, listed banks will have to disclose to the stock exchanges divergences in the asset classification and provisioning if "the additional provisioning for NPAs assessed by RBI exceeds 10 per cent of the reported profit before provisions and contingencies for the reference period."
Earlier, this threshold was 15%.
Besides, the disclosure will be mandatory in case "the additional gross NPAs identified by RBI exceed 15 per cent of the published incremental gross NPAs for the reference period," Sebi said.
The Reserve Bank of India (RBI) in a notification in April asked banks to disclose bad loan divergences in their financial statements if the additional provisioning exceeds 10 per cent of profit before provision and contingencies.
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This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.
