SEBI Tweaks Disclosure Norms For Listed Banks
The SEBI logo in Mumbai. (Photograph: BloombergQuint)

SEBI Tweaks Disclosure Norms For Listed Banks


The Securities and Exchange Board of India 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 the Reserve Bank of India 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 non performing assets assessed by the RBI exceeds 10 percent of the reported profit before provisions and contingencies for the reference period."

Earlier, this threshold was 15 percent.

Besides, the disclosure will be mandatory in case "the additional gross NPAs identified by RBI exceed 15 percent of the published incremental gross NPAs for the reference period," the market regulator said.

The RBI in a notification in April asked banks to disclose bad loan divergences in their financial statements if the additional provisioning exceeds 10 percent of profit before provision and contingencies.

Also read: RBI Tweaks NPA Divergence Disclosure Norms

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.