India delays Basel III implementation

MUMBAI – The Reserve Bank of India (RBI) has added an extra year to the transitional period for local banks to meet Basel III capital requirements. The final implementation date is now March 31, 2019. At the same time, the central bank clarified guidelines on the loss-absorption features required in non-equity capital instruments such as subordinated debt. Such instruments must now have permanent rather than temporary write-down features to qualify as capital.