The proposed LCR would apply to internationally active banking organizations – that is, to bank holding companies and savings and loan holding companies with $ billion or more in total consolidated assets or $ billion or more in on-balance-sheet foreign exposures.
State / Central Co-operative Banks are also allowed to issue Innovative Perpetual Debt Instruments (Innovative Instruments). The instruments may be issued as bonds or debentures to qualify for inclusion as Tier I Capital for capital adequacy purposes. Banks are required to obtain prior approval of the Reserve Bank of India, on a case-by-case basis, for issue of innovative instruments.