Sebi tightens disclosure framework for all listed banks: Details here

The Securities and Exchange Board of India (Sebi) on Thursday tightened the disclosure framework pertaining to ‘divergence’ in bad loan recognition. 

The capital markets regulator has said that all listed banks will have to disclose to the stock exchanges if their additional provisioning for non-performing assets (NPAs) assessed by the Reserve Bank of India (RBI) exceeds 10 per cent of the reported profit before provisions and contingencies. 

In addition, disclosures will be required if the additional gross NPAs identified by the RBI exceed 15 per cent of the published incremental gross NPAs. 

Sebi added that the new framework will come into effect immediately. 

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