The net interest income (NII) is the revenue on theadmin
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According to the present norm, and with the Basel II deadline fast approaching, banks have to maintain Capital Adequacy Ratio of at least 10%. The net interest income (NII) is the revenue on the assets and the cost of servicing the liabilities. In other words, the NII is the difference between the interest payments to the bank on loans and the interest payments by the bank to the customers on the deposits.
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