HDFC Bank, ICICI Bank, SBI Continue To Remain Domestic Systemically Important Banks: RBI
HDFC Bank, ICICI Bank, SBI Continue To Remain Domestic Systemically Important Banks
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HDFC Bank, ICICI Bank, SBI Continue To Remain Domestic Systemically Important Banks
The perception of 'too big to fail' (TBTF) creates an expectation of government support for these lenders in times of distress. Due to this, these banks enjoy certain advantages in the funding markets.
The RBI further added that the SIBs are institutions that are ‘too big to fail’.
SIBs are perceived as banks that are 'too big to fail (TBTF)'. This perception of TBTF creates an expectation of government support for these banks in times of distress. Due to this perception, these lenders enjoy certain advantages in the funding markets.