RBI Update - Reserve Bank of India (Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions, 2026

The Reserve Bank of India has issued the Reserve Bank of India (Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions,2026, pursuant to recent amendments to the banking laws and allied regulations.
Prior to the issuance of the Reserve Bank of India (Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions, 2026, the CRR and SLR Directions issued in 2025 contained limited references to specific development financial institutions such as EXIM Bank and NABARD. The reporting formats did not comprehensively reflect all development financial institutions recognised under the amended Reserve Bank of India Act, 1934, and deposits placed under newer liquidity instruments like the Standing Deposit Facility (SDF) were not expressly provided for. Certain terminologies also remained misaligned with recent legislative changes.
Post the Banking Laws (Amendment) Act, 2025 and allied subordinate legislations, the existing CRR/SLR framework lacked alignment with the expanded statutory definition of development financial institutions. This resulted in interpretational ambiguity, incomplete reporting and non-recognition of new liquidity management mechanisms, thereby necessitating harmonisation of the Directions with the updated legal framework.

The Amendment Directions, 2026:

Expand the scope to include other development financial institutions as defined under section 2(cccii) of the RBI Act, 1934.

Rationalise reporting and terminology by deleting restrictive expressions and replacing “specified” with “notified”.

Annex I (Form B) has been revised to replace references to Industrial Development Bank of India, NABARD and Exim Bank with a broader and updated list comprising the National Bank, Exim Bank, National Housing Bank, Small Industries Bank, National Bank for Financing Infrastructure and Development and other development financial institutions. Further, in item 2 of Form B, references to Industrial Development Bank of India have been deleted and corresponding insertions have been made to include National Housing Bank, Small Industries Bank, NaBFID and other development financial institutions.

Additionally, Annex II (Form I) and Annex III have been amended to expressly include IDBI Bank Limited under the relevant clauses. Terminological refinements have been carried out by inserting the words “such” and “as notified by the Reserve Bank” in specified items, while removing references to higher specified percentages, thereby aligning the provisions with a notification-based regulatory approach.

Further, a new reporting item recognising amounts deposited with the Reserve Bank under the Standing Deposit Facility Scheme has been introduced.

These Amendment Directions are applicable to:

Commercial Banks

Small Finance Banks

Payments Banks

Regional Rural Banks

Local Area Banks

Urban Co-operative Banks

Rural Co-operative Banks

Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=13281&Mode=0

Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=13282&Mode=0

Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=13283&Mode=0