The Reserve Bank of India’s directive to increase risk weights on unsecured consumer loans will not impact the country’s largest lender much in terms of growth.

State Bank of India chairman Dinesh Khara has said that the state-owned lender will not really be impacted much in terms of its ability to grow and support the loan book. 

“But yes, of course, there could be certain other entities which might experience some kind of a pressure as far as supporting this kind of book is concerned,” Khara added.

The impact of the increased risk weight on personal loans, including credit cards, will be 55-60 basis points, he told business news channel ET Now.

SBI will have no pressure to raise its capital adequacy ratio, which stood at 14.28% as of September end. 

"If we take into account the bank's half-yearly profit, which has not yet been adjusted in the capital ratios, then the capital adequacy ratio will rise by 109 basis points," Khara said.