**Executive Summary**
The Reserve Bank of India (RBI) has released draft Amendment Directions for Non-Banking Financial Companies (NBFCs) concerning Branch Authorisation Directions, following a comprehensive review of existing regulations. The RBI invites public comments on these draft directions from regulated entities and interested parties. The deadline for submitting comments is February 27, 2026.
**Key Points / Main Content**
* **Background:**
* The guidelines for opening and closing NBFC branches are outlined in the Reserve Bank of India (Non-Banking Financial Companies – Branch Authorisation) Directions, 2025.
* **Amendment:**
* The RBI has published the Reserve Bank of India (Non-Banking Financial Companies – Branch Authorisation) Amendment Directions, 2026.
* Relevant paragraphs of the Reserve Bank of India (Non-Banking Financial Companies – Acceptance of Public Deposits) Directions, 2025, and the Reserve Bank of India (Housing Finance Companies) Directions, 2025, shall be amended suitably.
* The Amendment Directions dispense with the requirement of prior approval or intimation for opening branches in India by NBFCs.
* **Public Comment:**
* RBI invites comments on the draft Amendment Directions.
* The deadline for submitting comments is February 27, 2026.
* Comments can be submitted via the 'Connect 2 Regulate' section on the RBI's website or by email.
**Impact Analysis**
**Stakeholder: Regulated Entities and Interested Parties**
* **Impact:** Requires review and understanding of the draft Amendment Directions concerning branch authorization for NBFCs.
* **Action Required:** Submit comments and feedback on the draft Amendment Directions to the RBI by February 27, 2026, via the specified channels.
Key Entities Referenced
Reserve Bank of India (Non-Banking Financial Companies – Branch Authorisation) Directions, 2025: The primary directions that prescribe regulations on opening and closure of branches of Non-Banking Financial Companies (NBFCs).
Reserve Bank of India (Non-Banking Financial Companies – Branch Authorisation) Amendment Directions, 2026: Amendment directions to the Non-Banking Financial Companies – Branch Authorisation Directions.
Reserve Bank of India: The regulator issuing the directions and inviting public comments.
Connect 2 Regulate: The section on the Reserve Bank's website where comments/feedback on the draft Amendment Directions can be submitted.
Mumbai: Location of the Reserve Bank of India central office.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
February 06, 2026
RBI invites public comments on the draft Amendment Directions on Non-
Banking Financial Companies – Branch Authorisation Directions
The Reserve Bank had issued the Reserve Bank of India (Non-Banking Financial
Companies – Branch Authorisation) Directions, 2025 (hereafter referred as the
‘Master Directions’), on November 28, 2025, which inter alia prescribes regulations
on opening and closure of branches of Non-Banking Financial Companies (NBFCs).
As announced in the Governor’s Statement on February 06, 2026, the Reserve Bank
has today published the Reserve Bank of India (Non-Banking Financial Companies –
Branch Authorisation) Amendment Directions, 2026. Consequently, relevant
paragraphs of the Reserve Bank of India (Non-Banking Financial Companies -
Acceptance of Public Deposits) Directions, 2025 and the Reserve Bank of India
(Housing Finance Companies) Directions, 2025, shall be amended suitably.
The comments on the draft Amendment Directions are invited from the Regulated
Entities, and other interested parties till February 27, 2026. The comments /
feedback may be submitted through the link under the ‘Connect 2 Regulate’ Section
available on the Reserve Bank’s website or may alternatively be forwarded to
The Chief General Manager
Registration and Authorisation Group
Department of Regulation, Central Office
Reserve Bank of India, 12th Floor
Shahid Bhagat Singh Marg
Fort, Mumbai – 400 001
Or
by email
With the subject line ‘Feedback on Amendment to NBFC Branch Authorisation
Directions’.
Background and Objective
The extant guidelines on opening and closure of branches of NBFCs are
prescribed under the Reserve Bank of India (Non-Banking Financial Companies –
Branch Authorisation) Directions, 2025, applicable to various categories of NBFCs
(including HFCs). Based on a comprehensive review and taking into consideration
the evolving regulatory landscape, it has been decided to dispense with the
requirement of prior approval/intimation for opening of branches in India by the
NBFCs.
(Brij Raj)
Press Release: 2025-2026/2059 Chief General Manager