The minimum Tier 1 capital ratio is:
A8 per cent
B9 per cent
C7 per cent
D5 per cent
Answer & Solution
Correct answer: C. 7 per cent
1. Tier 1 is CET1 plus additional Tier 1.
2. It sits between the CET1 floor and the total ratio.
3. The minimum is 7 per cent.
_Source: Reserve Bank of India (Commercial Banks - Prudential Norms on Capital Adequacy) Directions, 2025_
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