A Systematic Analysis on Central Bank Equity in India

This study aims at finding (a) the average capital-asset ratio of central banks globally is 6.56 percent while the number in emerging economies is 6.96 percent.(b)over one in every seven central banks suffers operating losses in any given year with the average loss being 50 percent of core capital; an (c)our Valueat-Risk estimates for the RBI excluding exchange rate risk indicate that the current level of the core capital of the RBI at 6.6 percent is too low.