IBPS PO VI Interview

Bank of india, Noida 2 Feb 1pm Anyone?

see we already have so many engineers and we don't need anymore, tell us what makes you different from others? 


How to answer such questions?

How to get caste certificate in GOI format in Karnataka ? I have the caste certificate issued by tahsildar will they accept this ?

has the link to download application form started?

How many photos do we need to carry? I cannot find anything mentioned about photos in the call letter.

Hello IBPS PO Aspirants,  

Another important topic which could be asked to you in your IBPS PO Interviews. So here is what you need to know about BASEL III 


What are Basel norms?   

Basel is a set of standards and practices developed for global banks  to ensure that they maintain adequate capital to withstand periods of  economic strain. It is a comprehensive set of reform measures designed  to improve the regulation, disclosures and risk management within the  banking sector.

What did Basel I and Basel II focus on?  

Basel I norms was introduced in 1998, focused almost entirely on  credit risk. It defined capital requirement and structure of risk  weights for banks. Basel II was introduced in 2004, laid down guidelines  for capital adequacy, risk management and disclosure requirements.

Why Basel III? 

It is widely felt that the shortcoming in Basel II norms is what led  to the global financial crisis of 2008. That is because Basel II did not  have any explicit regulation on the debt that banks could take on their  books, and focused more on individual financial institutions, while  ignoring systemic risk. To ensure that banks don’t take on excessive  debt, and that they don’t rely too much on short term funds, Basel III  norms were proposed in 2010.

What does Basel III norm stipulate?  

Basel III establishes tougher capital standards through more  restrictive capital definitions, higher risk-weighted assets (RWA),  additional capital buffers and higher requirements for minimum capital  ratios. It also introduces new strict liquidity requirements. 

What is the biggest criticism against Basel III?  

That the stringent capital requirements come at a time when the  global economy is in the midst of a slowdown. This will leave banks with  less money to lend, in turn pushing up the cost of borrowing; and  thereby further aggravating the slowdown. 

Why are many banks opposed to Basel III norms? 

Basel III norms will require banks to undertake significant process  and system changes to make upgrades, particularly in the areas of stress  testing, liquidity and capital management infrastructure. The reforms  could fundamentally impact profitability and require sweeping changes in  the business models of many banks 

What is the deadline for banks to become Basel III compliant?  

For international banks the deadline is December 31, 2018 and March 31, 2018 for Indian banks. 

Why the earlier deadline for Indian banks?  

The RBI said that: We did this to align our date with the close of  the Indian fiscal year, which is March 31. We could have gone up to  March 31, 2019, but that would have overshot the Basel III prescription  by three months and would have attracted adverse notice. 

Why are Indian banks concerned about Basel III norms?  

Just like for international banks, Basel III norms will affect the  profitability and return ratios of Indian banks as well. Something which  is admitted by the RBI. Basel III requires higher and better quality  capital. Admittedly, the cost of equity capital is high. The average  Return on Equity (RoE) of the Indian banking system for the last three  years has been approximately 15%. Implementation of Basel III is  expected to result in a decline in Indian banks' RoE in the short-term.

How much extra capital will Indian banks need for Basel III? 

According to RBI’s estimates, Indian banks will require a capital of  Rs 5 lakh crore over the next five years, of which Rs 1.75 lakh crore  will have to be equity capital. Within the Rs 1.75 lakh crore, anywhere  between Rs 70,000-1,00,000 crore will have to raised through the market,  depending on to what extent the government will infuse capital in  state-owned banks. 

Indian banks are much better off than global banks that  caused the financial crisis. Why then should Indian banks then comply  with Basel III norms?  

The RBI said: India should transit to Basel III because of several  reasons. By far the most important reason is that as India integrates  with the rest of the world, as increasingly Indian banks go abroad and  foreign banks come on to our shores, we cannot afford to have a  regulatory deviation from global standards. Any deviation will hurt us  both by way of perception and also in actual practice. Also, it is  important that Indian banks have the cushion afforded by improved risk  management systems to withstand shocks from external systems, especially  as they deepen their links with the global financial system going  forward.

The above topic was requested by @abhinavk24sep. You can request it too. Guys do comment below about more important topics. 

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  • No
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0 voters

plz help meri degree 2016 mein complete huyi h pr ab tak mere college k paas meri final sem marksheet aur provisional degree nhi aayi h to mere paas ab kya options h

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Anyone else has IBPS PO inteview on 7th Feb at 

BANK OF INDIA

STAFF TRAINING COLLEGE

B32;

SECTOR62

NOIDA

DISTT GAUTAM BUDH NAGAR

UP 201301