The State Bank of India (SBI), ICICI Bank and HDFC Bank would have to comply with additional capital requirement norms by 1st April 2019 as the banks continue to be in the Reserve Bank of India (RBI)'s list of Domestic Systemically Important Banks (D-SIBs) for 2018. D-SIBs are required to maintain higher capital as compared to other banks. It means that these banks are too big to fail and failure of any of these banks will have cascading effect on Indian financial system. The D-SIB framework requires the RBI to disclose the names of banks designated as D-SIBs starting from 2015 and place these banks in appropriate buckets depending upon their Systemic Importance Scores (SISs). SIBs are subjected to higher levels of supervision so as to prevent disruption in financial services in the event of any failure.
