Module: | Core Framework & Designation Rules
Q4: Under the RBI’s assessment methodology for D-SIBs, which of the following is NOT a sub-indicator used to measure the 'Interconnectedness' of a bank?
✅ Correct Answer: D
Interconnectedness measures how much a bank's distress can spread to other institutions.
Sub-indicators include intra-financial system assets, liabilities, and securities issued.
The number of rural branches is a measure of outreach, not the systemic interconnectedness of a Domestic Systemically Important Bank (D-SIB).
Sub-indicators include intra-financial system assets, liabilities, and securities issued.
The number of rural branches is a measure of outreach, not the systemic interconnectedness of a Domestic Systemically Important Bank (D-SIB).