 "Banks sufficiently capitalised now but will need more funds later: RBI")
State-run banks are currently "sufficiently" capitalised, but it would be better if the government injects them with more capital this fiscal year, Reserve Bank of India Deputy Governor R Gandhi said on Friday.
Gandhi said the banks would need more capital to meet the global Basel III regulatory requirements.
New Delhi has budgeted $1.25 billion to infuse into state lenders in the year ending March 2016, but Finance Secretary Rajiv Mehrishi this week said the government plans to more than double the amount to $3 billion.
Ratings agency Fitch estimates Indian lenders need more than $200 billion to prepare for the full implementation of the new Basel requirements in the next four years.