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RBI hikes banks’ M&A financing limit to 20% of tier-1 capital

General • February 13, 2026

RBI hikes banks’ M&A financing limit to 20% of tier-1 capital is drawing significant interest across the industry.

he Reserve Bank of India (RBI) said banks can conduct acquisition financing of up to 20 per cent of their tier-1 capital, as against the proposed 10 per cent cap, in its draft guidelines

Experts suggest this could influence future trends and innovation in the sector.

More updates are expected as the story develops.


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