India's central bank said on Saturday that private lender IndusInd Bank is well-capitalised and the financial position of the bank remains satisfactory. Earlier this month, IndusInd Bank reported it had discovered an accounting discrepancy in the way it booked currency derivatives stretching back at least six years.

The Reserve Bank of India has confirmed that IndusInd Bank is financially stable and adequately capitalised. Depositors are advised not to react to speculation concerning the bank's foreign exchange derivative portfolio discrepancies,

India's central bank is examining derivatives exposures of some private and state-run banks days after IndusInd Bank disclosed lapses in its derivatives accounting, three sources said on Wednesday.