Leverage Ratio 2017 Standard takes effect on April 1, 2027
Commercial banks will implement the Leverage Ratio 2017 Standard from April 1, 2027. The Reserve Bank of India (RBI) released final capital adequacy amendment directions on October 23, 2026, following stakeholder consultation.
Basel standard enters final rules
The RBI finalized instructions implementing the latest leverage ratio framework issued by the Basel Committee on Banking Supervision, known as the Leverage Ratio 2017 Standard.
The legal instrument is the Reserve Bank of India (Commercial Banks – Prudential Norms on Capital Adequacy) Eleventh Amendment Directions, 2026.
The final directions follow a draft issued on August 7, 2026, with stakeholders invited to submit feedback until August 28, 2026.
The RBI examined the responses and incorporated resulting modifications into the final amendment directions.
The instructions take effect on April 1, 2027.
Feedback accompanies the final directions
The RBI provides a statement on stakeholder feedback in an annex to the announcement.
The press release states that the final directions incorporate modifications following that review, but its body does not describe individual comments or the resulting changes.
It also gives no numerical leverage ratio requirements.
Chief General Manager Brij Raj signed the October 23, 2026 announcement, identified as Press Release 2026-2027/1376.
Final rules, separate technical detail
The announcement moves implementation from consultation to final directions with a fixed effective date.
Its text establishes the timetable rather than explaining the technical requirements.
Banks must look to the final directions for those requirements.