Reserve Bank of India (All India Financial Institutions – Financial Statements: Presentation and Disclosures) – Amendment Directions, 2026

**Executive Summary** This document details the Amendment Directions, 2026, issued by the Reserve Bank of India (RBI) regarding disclosures in financial statements for All India Financial Institutions (AIFIs). These amendments pertain to the presentation of exposures to related parties and are effective from April 1, 2026, though AIFIs may implement them earlier. The document amends the existing Directions of 2025, following from earlier amendments to Credit Risk Management for All India Financial Institutions. **Key Points / Main Content** * **Amendment Overview:** * Modifies Chapter-IV of the "Disclosure in Financial Statements – Notes to Accounts" Directions. * Inserts a new sub-sub paragraph on "Exposures to Related Parties" under the "Credit concentration risk" section. * **Disclosure Requirements:** * Details of exposures to related parties, as defined in the Reserve Bank of India (All India Financial Institutions – Credit Risk Management) Directions, 2025, must be disclosed. * Disclosure should follow a specific table format that requires reporting the previous year and current year values (in ₹ crore) for the following items: * Aggregate value of loans sanctioned to related parties during the year. * Aggregate value of outstanding loans to related parties as on 31st March. * Aggregate value of outstanding loans to related parties as a proportion of total credit exposure as on 31st March. * Aggregate value of outstanding loans to related parties categorized as (i) Special Mention Accounts as on 31st March, and (ii) Non-Performing Assets as on 31st March. * Amount of provisions held in respect of loans to related parties as on 31st March. * Aggregate value of contracts and arrangements awarded to related parties during the year. * Aggregate value of outstanding contracts and arrangements involving related parties as on 31st March. * **Effective Date:** * Amendments are effective from April 1, 2026. * AIFIs have the option to implement the amendments earlier. **Impact Analysis** **All India Financial Institutions (AIFIs)** * **Impact:** AIFIs are required to enhance their financial statement disclosures to include detailed information on exposures to related parties. * **Action Required:** AIFIs must prepare to collect and report the specified data on exposures to related parties in the prescribed format for their financial statements. They should also update their reporting systems and processes to comply with the new disclosure requirements by the effective date (April 1, 2026), or earlier if they choose to implement the changes sooner.

Key Entities Referenced