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Date: 2026-01-09 Category: Not Applicable State: Union Government Country: India

Reserve Bank of India (All India Financial Institutions (AIFIs)- Prudential Norms on Capital Adequacy) Amendment Directions, 2026

Issued by Reserve Bank of India · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document, issued by the Reserve Bank of India on January 09, 2026, contains Amendment Directions to the "All India Financial Institutions (AIFIs)- Prudential Norms on Capital Adequacy) Directions, 2025." The amendment modifies the risk weighting of claims on non-resident corporates, effective immediately. It provides revised risk weight mapping for ratings assigned by international rating agencies and CareEdge Global IFSC Limited. **Key Points / Main Content** * **Amendment of Para 44:** * Revises risk weighting for claims on non-resident corporates based on international rating agencies' ratings. * Provides specific risk weight mapping in Table 9.1 for ratings assigned by S&P/Fitch/Moody's. * Specifies risk weight mapping in Table 9.2 for ratings assigned by M/s CareEdge Global IFSC Limited for claims originating at International Financial Services Centre (IFSC). * For unrated claims from the banking system, it mandates a 150% risk weight if the exposure is over ₹200 crore. * Claims that were formerly rated with an exposure over ₹100 crore are also weighted at 150%. * **Amendment of Para 125:** * Allows AIFIs to use ratings from specified international credit rating agencies (CareEdge Global IFSC Limited, Fitch, Moody's, and Standard & Poor's) for risk weighting claims for capital adequacy. * **Effective Date:** * The above amendment comes into force with immediate effect. **Impact Analysis** **Stakeholder: All India Financial Institutions (AIFIs)** * **Impact:** AIFIs will need to update their risk weighting methodologies for claims on non-resident corporates according to the new mapping provided in Tables 9.1 and 9.2, especially for exposures through IFSC. * **Action Required:** Review and implement the revised risk weighting guidelines for non-resident corporate claims, including claims rated by CareEdge Global IFSC Limited. Update internal systems and processes to reflect the changes immediately.

Key Entities Referenced

Reserve Bank of India (All India Financial Institutions (AIFIs)- Prudential Norms on Capital Adequacy) Directions, 2025: The original directions being amended by this document. Reserve Bank of India Act, 1934: The Act that grants the Reserve Bank of India the power to issue these directions. Reserve Bank of India: The regulator issuing the amendment directions. International Financial Services Centre (IFSC): The location where the corporate originates. CareEdge Global IFSC Limited: Credit rating agency for non-resident corporates originating in IFSC.
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भारतीय ररज़र्व बैंक RESERVE BANK OF INDIA _________________________ ______________________ www.rbi.org.in RBI/2025-26/191 DOR.STR.REC.392/21-01-002/2025-26 January 09, 2026 Reserve Bank of India (All India Financial Institutions (AIFIs)- Prudential Norms on Capital Adequacy) Amendment Directions, 2026 Please refer to Reserve Bank of India (All India Financial Institutions (AIFIs)- Prudential Norms on Capital Adequacy) Directions, 2025 (hereinafter referred to as ‘the Directions’). 2. On a review, and in exercise of the powers conferred by the section 45L of the Reserve Bank of India Act, 1934 and all other laws enabling the Reserve Bank in this regard, the Reserve Bank being satisfied that it is necessary and expedient in the public interest so to do, hereby issues the Amendment Directions hereinafter specified. 3. The Amendment Directions modifies the Directions as under: (1) Para 44 shall be substituted by the following: “44. The claims on non-resident corporates shall be risk weighted as under as per the ratings assigned by international rating agencies. Further, with regard to claims on all non-resident corporates originating at International Financial Services Centre (IFSC) for which ratings are assigned by M/s CareEdge Global IFSC Limited, the mapping shall be as per Table 9.2 below. Table 9.1: Claims on non-resident corporates - risk weight mapping for the ratings assigned by S&P/Fitch/Moody’s Ratings S&P / Fitch AAA to AA A BBB to BB Below BB Unrated Ratings Moody’s ratings Aaa to Aa A Baa to Ba Below Ba Unrated Risk Weight (%) 20 50 100 150 100 विवियमि विभाग, केंद्रीय कायाालय, केंद्रीय कायाालय भिि, 12िी/ीं 13िी ींमींव़िल, शहीद भगत व ींह मागा, फोर्ा, म ींबई - 400001 र्ेलीफोि/ Tel No: 22661602, 22601000 फैक्स/ Fax No: 022-2270 5691 Department of Regulation, Central Office, Central Office Building, 12th/ 13th Floor, Shahid Bhagat Singh Marg, Fort, Mumbai – 400001 हहदिं ी आसान ह,ैं इसका प्रयोग बड़ाइएTable 9.2: Claims on non-resident corporates - risk weights mapping for the ratings assigned by M/s CareEdge Global IFSC Limited - for claims originating at International Financial Services Centre (IFSC) CareEdge BB & Global IFSC AAA AA A BBB below Limited Risk Weight (%) 20 30 50 100 150 Explanation – (i) Unrated claims having aggregate exposure from banking system of more than ₹200 crore shall attract a risk weight of 150 per cent. (ii) Claims with aggregate exposure from banking system of more than ₹100 crore which were rated earlier and subsequently have become unrated shall attract a risk weight of 150 per cent. (iii) No claim on an unrated corporate shall be given a risk weight preferential to that assigned to its sovereign of incorporation.” (2) Para 125 shall be substituted by the following: “125. An AIFI may also use the ratings of the following international credit rating agencies (arranged in alphabetical order) for the purposes of risk weighting its claims for capital adequacy purposes where specified: (i) CareEdge Global IFSC Limited (for all non-resident corporate exposures originating at International Financial Services Centre (IFSC)); (ii) Fitch; (iii) Moody's; and (iv) Standard & Poor’s.” 4. The above amendment shall come into force with immediate effect. (Vaibhav Chaturvedi) Chief General Manager 2

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