RBI Aligns Capital Adequacy Disclosure Norms with Basel Standards

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Commercial Banks – Prudential Norms on Capital Adequacy) Seventh Amendment Directions, 2026, revising the Pillar 3 disclosure framework for commercial banks to enhance transparency and align with the Basel Committee’s international disclosure standards.

Key Highlights

• Replaces existing disclosure tables with updated Basel-aligned templates for credit risk disclosures.
• Revises the scope and applicability of Pillar 3 disclosures, requiring disclosures at the top consolidated level or on a standalone basis, as applicable.
• Clarifies that all banks, including unlisted banks, are required to make Pillar 3 disclosures.
• Introduces enhanced governance and assurance requirements to strengthen the accuracy and reliability of disclosed information.
• Updates the disclosure formats, frequency, and reporting requirements to improve consistency, comparability, and transparency across the banking sector.
• The revised disclosure framework will be implemented in a phased manner, with key requirements becoming applicable from April 1, 2029.

https://www.rbi.org.in/Scripts/BS_CircularIndexDisplay.aspx?Id=13646

RBI Updates ALM Disclosure References for Commercial Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Commercial Banks – Asset Liability Management) Second Amendment Directions, 2026, aligning Asset Liability Management (ALM) disclosure requirements with the revised Basel Pillar 3 disclosure framework.

Under the amendment, banks must refer to the Reserve Bank of India (Commercial Banks – Financial Statements: Presentation and Disclosures) Directions, 2025 and the Reserve Bank of India (Commercial Banks – Prudential Norms on Capital Adequacy) Directions, 2025 for the prescribed disclosure templates and related instructions for the Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR).

The amendment is intended to ensure consistency in liquidity-related disclosures by aligning ALM reporting with the updated capital adequacy and financial disclosure framework.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13647

RBI Updates Governance Disclosure Norms for Commercial Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Commercial Banks – Governance) Third Amendment Directions, 2026, aligning governance-related disclosures with the revised Basel Pillar 3 framework.

Key Highlights

• Updates disclosure requirements for share-linked instruments granted as variable pay by private sector banks.
• Requires remuneration disclosures for Whole-Time Directors (WTDs), MD&CEO, CEO, and Material Risk Takers (MRTs) to follow the revised disclosure framework.
• Continues the requirement to value share-linked instruments using the Black-Scholes model.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13648

RBI Updates Governance Disclosure Norms for Commercial Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Commercial Banks – Governance) Third Amendment Directions, 2026, aligning governance-related disclosures with the revised Basel Pillar 3 framework.

Key Highlights

• Updates disclosure requirements for share-linked instruments granted as variable pay by private sector banks.
• Requires remuneration disclosures for Whole-Time Directors (WTDs), MD&CEO, CEO, and Material Risk Takers (MRTs) to follow the revised disclosure framework.
• Continues the requirement to value share-linked instruments using the Black-Scholes model.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13649

RBI Aligns Payments Banks Governance Disclosures with Basel Pillar 3 Framework

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Payments Banks – Governance) Third Amendment Directions, 2026, updating governance-related disclosure requirements to align with the revised Basel Pillar 3 framework.

Key Highlights

• Revises disclosure requirements for share-linked instruments issued as part of variable pay.
• Requires annual disclosure of remuneration for Whole-Time Directors (WTDs), Managing Director & CEO (MD&CEO), and Material Risk Takers (MRTs) in accordance with the updated disclosure framework.
• Continues the requirement to value share-linked instruments using the Black-Scholes model for accounting purposes.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13650

RBI Streamlines Remuneration Disclosure Requirements for Payments Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Payments Banks – Financial Statements: Presentation and Disclosures) Second Amendment Directions, 2026, revising the disclosure requirements for Payments Banks’ financial statements.

Key Highlights

• Deletes Paragraph 10(11) relating to remuneration disclosures from the Payments Banks – Financial Statements: Presentation and Disclosures Directions, 2025.
• The amendment aligns remuneration disclosure requirements with the revised Basel Pillar 3 disclosure framework introduced under the Small Finance Banks – Prudential Norms on Capital Adequacy Directions.
• Payments Banks will follow the updated disclosure framework for remuneration instead of the earlier provision under the Financial Statements Directions.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13651

RBI Updates Asset Liability Management Disclosure References for Small Finance Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Small Finance Banks – Asset Liability Management) Amendment Directions, 2026, revising disclosure references for liquidity risk reporting in line with the updated Basel Pillar 3 framework.

Key Highlights

• Updates the reference for Liquidity Coverage Ratio (LCR) disclosure templates and related instructions to the latest Financial Statements: Presentation and Disclosures and Prudential Norms on Capital Adequacy Directions.
• Revises the reference for Net Stable Funding Ratio (NSFR) disclosure templates and related instructions to align with the updated regulatory framework.
• Ensures consistency in liquidity risk disclosure requirements following the revised Basel Pillar 3 disclosure framework.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13653

RBI Revises Governance Disclosure Requirements for Small Finance Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Small Finance Banks – Governance) Third Amendment Directions, 2026, updating governance-related disclosure requirements to align with the revised Basel Pillar 3 framework.

Key Highlights

• Revises the disclosure requirements for share-linked instruments granted as part of variable pay, requiring disclosures in accordance with the latest Financial Statements: Presentation and Disclosures and Prudential Norms on Capital Adequacy Directions.
• Updates the annual remuneration disclosure requirements for Whole-Time Directors (WTDs), Managing Director & CEO (MD&CEO), and Material Risk Takers (MRTs) to align with the revised disclosure framework.
• Continues to require fair valuation of share-linked instruments using the Black-Scholes model, with the recognised fair value recorded as an expense from the approved accounting period.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13654

RBI Streamlines Financial Statement Disclosures for Small Finance Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Small Finance Banks – Financial Statements: Presentation and Disclosures) Fourth Amendment Directions, 2026, revising disclosure requirements to align with the updated Basel Pillar 3 framework.

Key Highlights

• Removes disclosure requirements for the Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR) from the Financial Statements: Presentation and Disclosures Directions.
• Deletes the existing provision relating to remuneration disclosures.
• Aligns liquidity and remuneration disclosures with the revised Prudential Norms on Capital Adequacy and related disclosure framework.

Effective Date: April 1, 2027.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13655

RBI Revises Deposit Interest Rate Framework for Commercial Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Commercial Banks – Interest Rate on Deposits) Second Amendment Directions, 2026, revising the framework for interest rates on rupee bulk deposits and related disclosure requirements.

Key Highlights

• Requires banks to disclose interest rates for all deposits, including bulk deposits, in advance on their websites, with bulk deposit rates to be published by 10:10 a.m. on every business day.
• Mandates uniform interest rates across all branches for deposits of the same amount accepted on the same date, ensuring consistent treatment of customers.
• Permits banks to offer differential interest rates on bulk deposits based on the applicable Liquidity Coverage Ratio (LCR) run-off rates, as specified in the Asset Liability Management Directions, 2025.

Effective Date: October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13656

RBI Revises Deposit Interest Rate Framework for Small Finance Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Small Finance Banks – Interest Rate on Deposits) Second Amendment Directions, 2026, revising the framework for interest rates on rupee bulk deposits and related disclosure requirements.

Key Highlights

• Requires Small Finance Banks to disclose interest rates for all deposits, including bulk deposits, in advance on their websites, with bulk deposit rates to be published by 10:10 a.m. on every business day.
• Mandates uniform interest rates across all branches for deposits of the same amount accepted on the same date, ensuring consistent treatment of customers.
• Permits banks to offer differential interest rates on bulk deposits based on the applicable Liquidity Coverage Ratio (LCR) run-off rates, as specified in the Small Finance Banks – Asset Liability Management Directions, 2025.

Effective Date: October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13657

RBI Strengthens Deposit Interest Rate Disclosure Norms for Regional Rural Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Regional Rural Banks – Interest Rate on Deposits) Second Amendment Directions, 2026, revising the disclosure requirements for deposit interest rates.

Key Highlights

• Requires Regional Rural Banks to disclose interest rates for all deposits, including bulk deposits, in advance on their websites, with bulk deposit rates to be published by 10:10 a.m. on every business day.
• Mandates uniform interest rates across all branches for deposits of the same amount accepted on the same date, ensuring consistent treatment of customers.
• Enhances transparency by standardising the disclosure and application of deposit interest rates.

Effective Date: October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13658

RBI Updates Deposit Interest Rate Disclosure Norms for Payments Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Payments Banks – Interest Rate on Deposits) Amendment Directions, 2026, revising the disclosure requirements for deposit interest rates.

Key Highlights

• Requires Payments Banks to disclose deposit interest rates in advance on their official websites.
• Mandates that interest rates payable on deposits shall strictly follow the schedule of rates published on the bank’s website.
• Strengthens transparency by ensuring customers have access to the applicable deposit interest rates before opening or renewing deposits.

Effective Date: October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13659

RBI Revises Deposit Interest Rate Disclosure Norms for Local Area Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Local Area Banks – Interest Rate on Deposits) Second Amendment Directions, 2026, revising the framework for the disclosure of deposit interest rates.

The amended directions require Local Area Banks to publish their deposit interest rate schedule on their websites in advance. Interest rates applicable to bulk deposits must be disclosed on every business day at 10:00 AM, with a grace period of up to 10:10 AM. The directions also reiterate that interest rates on deposits, including bulk deposits, must be applied uniformly across all branches and customers for deposits of the same amount accepted on the same date, ensuring consistency and non-discriminatory pricing.

The amended directions will come into effect from October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13660

RBI Revises Deposit Interest Rate Disclosure Norms for Urban Co-operative Banks

The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Urban Co-operative Banks – Interest Rate on Deposits) Second Amendment Directions, 2026, revising the framework for the disclosure of deposit interest rates.

Key Highlights

• Requires Urban Co-operative Banks to disclose interest rates for all deposits, including bulk deposits, in advance on their websites, with bulk deposit rates to be published by 10:10 a.m. on every business day.
• Mandates uniform interest rates across all branches for deposits of the same amount accepted on the same date, ensuring consistent treatment of customers.
• Strengthens transparency by standardising the disclosure and application of deposit interest rates across all branches.

Effective Date: October 1, 2026.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13661

RBI Strengthens Measures for Detection of Fake Currency Notes

The Reserve Bank of India (RBI) has issued revised instructions to strengthen the detection, reporting, and monitoring of Fake Indian Currency Notes (FICNs).

Key Highlights

• Requires all cash handling staff to be trained on counterfeit note detection by October 31, 2026, with priority training for border-area branches by September 15, 2026.
• Mandates deployment of Note Authentication/Sorting Machines in branches located in international border districts.
• Directs banks to strengthen monitoring through Forged Note Vigilance (FNV) Cells, including analysis of counterfeit note trends and hotspots.
• Requires banks to establish a compliance monitoring mechanism and submit an action plan and progress report to the RBI by September 15, 2026.

These measures are intended to strengthen banks’ processes for detecting, impounding, reporting, and monitoring counterfeit currency.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13662

 RBI Consolidates Supervisory Directions and Repeals 628 Circulars

The Reserve Bank of India (RBI) has issued 64 Consolidated Directions to streamline supervisory instructions under the Department of Supervision (DoS).

Key Highlights

• Consolidates supervisory instructions into 64 comprehensive Directions.
• Repeals 628 circulars that have been consolidated or are no longer relevant.
• Clarifies that actions initiated under the repealed circulars will continue to remain valid under the earlier provisions.
• The repeal is effective immediately.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13663

RBI Updates UNSC Taliban Sanctions List Under UAPA Compliance

The Reserve Bank of India (RBI) has notified regulated entities about updates to the United Nations Security Council (UNSC) 1988 Taliban Sanctions List under the provisions of Section 51A of the Unlawful Activities (Prevention) Act (UAPA), 1967. The update incorporates amendments to five entries in the sanctions list.

Key Highlights

• Incorporates amendments to five entries in the UNSC 1988 Taliban Sanctions List.
• Requires regulated entities to screen customer accounts against the updated sanctions list and comply with the RBI’s KYC Directions and UAPA provisions.
• Directs entities to follow the prescribed procedures under the UAPA Order while taking necessary actions on identified matches.
• Reiterates that requests for delisting must be processed through the prescribed Ministry of Home Affairs and UN procedures.

https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=13664