Disclosures Prescribed by RBI15
Banks are also required to comply with the Accounting Standard 1 on “Disclosure of Accounting Policies” issued by the Institute of Chartered Accountants of India (ICAI). In addition to the 16 detailed prescribed schedules to the balance sheet, banks are required to furnish the information as discussed in the following paragraphs in the “Notes to Accounts”:
Capital16
(i) The Capital to Risk-weighted Assets Ratio (CRAR) as assessed by the Bank on the basis of the guidelines issued by the RBI for implementation of the Capital Adequacy Framework should be computed and disclosed in Notes to accounts.
(ii) CRAR should be computed on over all basis (i.e. Total Capital) and also for Tier I and Tier II capital.
(iii) Amount of equity capital raised
(iv) Amount of Additional Tier 1 capital raised; of which
a. Perpetual Non cumulative Preference Shares (PNCPS)
b. Perpetual Debt Instrument (PDI)
(v) Amount of Tier 2 capital raised; of which
a. Debt capital instrument
b. Preference Share Capital Instrument: [Perpetual Cumulative Preference Shares (PCPC)/Redeemable Non-Cumulative Preference Shares (RNCPS)/ Redeemable Cumulative Preference Shares (RCPS)]
(vi) For nationalized banks percentage of the shareholding of the Government of India should also be disclosed.
Investments
(i) The details of investments and the movement of provisions held towards depreciation of investments of the bank should be stated under following heads:
(a) gross value of investments in India and outside India;
(b) aggregate of provisions for depreciation, separately on investments in India and outside India;
(c) net value of investments in India and outside India; and
(d) Movement of provision held towards depreciation on investment stating opening balance, provisions made during the year, appropriation/transfer, if any, from Investment Fluctuation reserve, write- off/ write back of excess provisions and closing balance.
(ii) The gross value of investments and provisions need not, however, be shown against each of the categories specified in the Schedule. The break-up of net value of investments in India and outside India (gross value of investments less provision) under each of the specified category need only be shown.