Question

What are the existing Accounting Standards followed by Indian Banks? How could we make these Standards competitive to the International Standards.

19 Feb 2018
Answer :
Word Count : 1103

The Companies (Indian Accounting Standards) Rules, 2015 (Ind-AS), converging substantially with the International Financial Reporting Standards (IFRS), will impact banks in the country in a two-fold manner.

The Companies (Indian Accounting Standards) Rules, 2015 (Ind-AS), converging substantially with the International Financial Reporting Standards (IFRS), will impact banks in the country in a two-fold manner. First, it can impact their businesses, given the corporates to which they have lent have already started to report under the Ind-AS from the current year, thereby impacting financial ratios and covenants. This is likely to impact the banks’ processes of credit appraisal, covenant setting and credit rating, as the financial position of these corporates may look very different under Ind-AS.

Second, it will impact banks’ own financial statements, where the new principle-based standards may largely override RBI’s rule-based accounting. Banks currently prepare their financial statements as per the Accounting Standards as notified under the Companies Act and the statutory requirements under the banking regulations, circulars and guidelines issued by RBI from time to time. RBI prescribes rules around income recognition, asset classification, impairment provision, and de-recognition. The move to Ind-AS is a paradigm shift that introduces several complex concepts. With newer concepts, such as expected credit loss recognition for loan and investments, interest recognition on effective interest rate basis, emphasis on fair valuation measurement, evaluation of risk and reward criteria for transactions related to priority sector lending (PSL) and asset reconstruction companies (ARCs), this transition is bound to have an organisation-wide impact.
Banks will have to determine the impact on product design, lending policies, credit assessments, covenant monitoring, tax planning, and regulatory capital. This would also require changes to policies, processes, governance structures, business planning processes, risk management strategies, IT systems,

_________ ____ __________ ____ ________ __________ ______ ____ __________ ____ ____.
___ ______ _______ ______ __________ __________ ________ _____ _________ _________ _____ _____.
___ _____ _____ _____ ____ ______ ___ _____ ___.
___ ______ _________ ________ _______ ___ _______ ______ ___ ___.
___ ______ ________ __________ ________.
__________ ___ _________ ________ ______ _________.
_____ ____ ________ ____ _________ ______ _________ ________.
___ __________ ____ ___ _____ ____ _______.
____ _______ ________ ___ ______ ____ ________ _____.
__________ ________ _____ ________ ____ ____.
_________ _________ ____ _________ _________ ______ __________ _________ ____ ______ __________.
__________ _______ _________ _________ _________ ________ ___ ___ _______ _______ ____.
____ _______ ______ ________ ___ ___ _________ _________.
______ _____ _____ ___ ______ ___ ____ __________ _____ ________.
_____ ___ ________ ___ ______ ____ _____ ___ ________ ____ _______ _________.
_____ _____ ________ ______ ______ _______ ___ ___.
_____ ___ ____ _______ _____ ________ ___.
_________ _______ _______ ____ _________ ________ ____ ___.
___ _______ __________ ___ ______ _______ _______.
____ ___ ___ _______ _______ __________.
________ _______ _____ __________ _________ ______.
___ _________ _______ ________ _____ ___ ________ ______ _____ ______.
_______ _______ ___ _________ ________ __________.
________ ________ _____ _______ _______ ________ ___ ________ _______.
____ __________ ________ ___ _________ _______ _________ _______.
_______ _____ _______ ___ __________ ___.
__________ ________ __________ ________ ____ _______ ___ ______ ________ __________ ______ _________.
___ __________ ___ ___ ____ ____ _____ ________ ___ _______ ________ _________.
_______ ___ _________ ______ _______ ________.
______ ______ __________ _______ _____ ____ __________ _____.
______ ________ ______ ________ ____ _________ _________ __________ ___ ___ __________.
________ _____ ______ __________ _________ _________ ________.
___ _________ _____ ______ ____ __________ ____ ____ ____ _____.
__________ ________ __________ _________ ____ ___ __________ __________ ________.
________ _____ ______ _________ ______ _______ ___ ____ ________ __________.
____ ____ ______ __________ _______ ____ ________ ______ ________ _________.
_______ ___ _____ _________ __________ _____.
_________ ______ ________ ___ _______ _________ ______ __________ ____ ___ _________ __________.
____ __________ _________ _________ ____ ____.
_____ __________ ______ ______ ______ __________.
_________ ____ ____ ________ ________ ____.
___ _________ ___ _________ ____ __________ ________ ___ ____.
_______ ____ ______ _______ __________ _______ _____ __________ ________ __________ ___ _________.
_______ ______ _________ ___ __________ ___ ____ _____ ___.
_______ _____ ______ __________ _________ _____ _________ _______ ________.
_________ __________ ________ ____ ___ ________ __________.
____ _________ ____ ______ _____ _____ ___ ________.
_____ _____ ______ ______ _____ ___ _______ ______ ____ ______.
___ _____ ______ _______ ________ ____ ________ ___ ______ _____ ____ ________.
_______ _______ ________ _________ ____ ___ __________ ____ ____.
______ ________ ____ ____ _______ ______ _________ ____ __________.
__________ ___ _____ ____ ________ _________ ______ ____ ____ __________ ____.
________ ______ ___ _________ _______ _________.
________ _____ _________ _____ ______.
_____ ________ __________ _________ ________ __________ __________ _________ __________ ____ _______ _____.
____ ___ ___ ____ _________ __________ _____ ______ __________ _________ ____.
__________ ________ ____ ______ ________ ____ ___ _________.
______ _______ ________ ______ _____ ___ _________ _________ ________ ___ ________.
____ ______ _________ __________ _________.
__________ ___ _____ _______ __________.
___ ______ ___ _______ _______ ____ ____ ___ ___.
_______ _______ _______ ___ ______ ______ _______.
_________ _________ ______ ____ _____ ____ _________ ______.
_____ ____ ____ ______ ________ __________ _____ _______ ______ ______ _______.
____ _____ _______ __________ ________ ________ _________.
_________ _______ _____ _________ ______ ______.
____ _____ ______ _________ _______.
_____ _____ __________ _______ _____ ___ __________.
______ ________ ________ ____ ______ ______ _____.
_________ ___ ________ __________ ___ ___ _________ ________ _______.
_____ _____ ____ _______ ______ ___ _______ _______ ______.
_______ _____ __________ _________ ___ ___.
____ ____ ________ ____ ________ _____.
____ _____ _______ ____ _______.
_____ ___ ______ ____ _______ ___.
____ _______ ___ ____ ____ ___ ______ _____.
___ _________ _______ __________ ______ _____ _____ ___ ______.
_________ ____ ___ ___ ________ ____.
________ ________ _______ __________ _____ _______ __________ ___ ________ _________.
__________ ___ _____ _______ ________.
__________ ___ ________ _____ ______ __________ ___.
_______ _______ _____ ___ _____ ____ ________ ______ _________ ______ ________.
_____ _______ ______ ______ ___ ______ _________ _____ ________ _______.
____ ____ ____ ____ _______.
________ ______ ______ ___ ______ _______.
___ __________ _______ ___ ____ ____.
_________ ____ ____ ___ _________ _____ ______ __________ ___ ________ ___.
____ ________ __________ ______ ________ ______.
______ __________ _______ ____ _______ ____ ___ ______.
___ ___ ______ ________ _________ ________ ____ _________ ____ _________.
_______ ___ ________ ________ __________ __________ _______.
__________ ___ ________ ______ ____ ___ _________ _______ ______.
________ ___ _________ ________ _____ _________ ____ __________ _________.
___ ______ ___ ______ _______.
___ _____ ____ _______ _______ ______ ___ ______.
___ __________ __________ _______ ________ _______ _______ ________ _______ _______ ___ ____.
___ ____ __________ ______ __________ __________ _______ ________.
___ __________ ________ __________ ______ _____ _________ ______ _______ ____ ____.
______ _________ _______ ______ __________ ___ ________.
IGNOU ACADEMY
Your IGNOU journey, made easier.
  • Solved Assignments
  • Study Notes
  • Guess Papers
  • Question Papers
Call Us WhatsApp
STUDY • PREPARE • SUCCEED
Skip in 10
Related Questions

What do you understand by Financial Analysis of banks ? Explain the technique of Ratio Analysis and DUPONT analysis as applied for the financial analysis of banks.

What do you understand by Capital Adequacy Ratio ? Explain the various constituents of Tier I and Tier II capitals.

Discuss the significance of Cost Analysis as an input for pricing of bank products and services. Explain the various methods of pricing.

Try to find out the different elements that comprise Tier-I and Tier-II capital of your bank. Write a brief note on your findings.

What are the existing Accounting Standards followed by Indian Banks? How could we make these Standards competitive to the International Standards.

In a bank of your choice try to find out the Policy and Strategy that is in place for managing the Credit risk? Give your suggestions, if any.

What are the main assets and liabilities of a bank ? Discuss the significance of Asset - Liability management in a bank. How does the
Asset - Liability gap affect the return, liquidity and risk of the bank ?

IGNOU Solved Assignments Assignments Ignou Projects Project Previous Year Solved Exam Papers Notes Notes Sample Question Papers Sample Question Papers
Login
Top
📞
Call Support Instant phone assistance IGNOU MS 422 2017 - What are the existing Accounting Standards followed by Indian Banks? H | IGNOU Academy
→
🟢
WhatsApp Chat Fast live messaging
→
Email Us Business enquiries & support
→