**Executive Summary**
This document, issued by the Reserve Bank of India on January 5, 2026, provides amendment directions to the "Reserve Bank of India (All India Financial Institutions – Financial Statements: Presentation and Disclosures) Directions, 2025." It mandates additional disclosures related to exposures to related parties in financial statements. The amendments come into force on April 1, 2026.
**Key Points / Main Content**
* **Amendment to Disclosure Requirements:**
* Chapter-IV of the Directions, ‘Disclosure in Financial Statements – Notes to Accounts,' is modified.
* A new sub-sub paragraph (vi) is inserted under sub-paragraph 19(9) on ‘Credit concentration risk'.
* The new paragraph requires the disclosure of "Exposures to Related Parties," as defined in the "Reserve Bank of India (All India Financial Institutions – Credit Risk Management) Directions, 2025."
* **Disclosure Table:**
* A table format is prescribed for disclosing exposures to related parties, requiring both "Previous Year" and "Current Year" data in ₹ crore.
* **A. Loans to Related Parties:**
* 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 which are 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.
* **B. Contracts and Arrangements involving Related Parties:**
* 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:**
* The amendments come into force from April 1, 2026.
* All India Financial Institutions (AIFIs) may choose to implement the amendments earlier.
**Impact Analysis**
**All India Financial Institutions (AIFIs)**
* **Impact:** AIFIs are required to comply with the new disclosure requirements regarding exposures to related parties in their financial statements.
* **Action Required:** AIFIs need to modify their financial reporting processes to include the additional disclosures outlined in the amendment directions. They must also decide whether to implement the changes before the mandatory date of April 1, 2026.
Key Entities Referenced
Reserve Bank of India: India's central bank and the issuer of these amendment directions.
Reserve Bank of India (All India Financial Institutions – Financial Statements: Presentation and Disclosures) – Amendment Directions, 2026: The main policy document outlining amendments to financial statement presentation and disclosure requirements for All India Financial Institutions.
Reserve Bank of India (All India Financial Institutions – Financial Statements: Presentation and Disclosures) Directions, 2025: The original directions that are being amended by this document.
Reserve Bank of India (All India Financial Institutions – Credit Risk Management) – Amendment Directions, 2026: Referenced policy document regarding Credit Risk Management for All India Financial Institutions, related to the disclosure of exposures to related parties.
All India Financial Institutions: The entities to which this policy applies.
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
RBI/2025-26/188
DOR.CRE.REC.389/21.04.018/2025-26 January 05, 2026
Reserve Bank of India (All India Financial Institutions – Financial
Statements: Presentation and Disclosures) – Amendment Directions, 2026
Please refer to Reserve Bank of India (All India Financial Institutions – Financial
Statements: Presentation and Disclosures) Directions, 2025 (hereinafter referred to as
‘the Directions’).
2. On a review, consequent to the issuance of the Reserve Bank of India (All India
Financial Institutions – Credit Risk Management) – Amendment Directions, 2026, and
in exercise of the powers conferred by Section 45L of the Reserve Bank of India Act,
1934 and all other provisions / laws enabling the Reserve Bank of India (hereinafter
called the Reserve Bank) in this regard, the Reserve Bank being satisfied that it is
necessary and expedient in the public interest so to do, hereby issues the Amendment
Directions hereinafter specified.
3. The Amendment Directions modifies the Directions as under:
3(1) In Chapter-IV ‘Disclosure in Financial Statements – Notes to Accounts’, a new
sub-sub paragraph (vi) shall be inserted under sub-paragraph 19(9) on ‘Credit
concentration risk’, as given below:
19(9)(vi) Exposures to Related Parties
Details of exposures to related parties as defined in Reserve Bank of India (All
India Financial Institutions– Credit Risk Management) Directions, 2025 shall be
disclosed as per the following table:
(Amount in ₹ crore)
Sl Particulars Previous Current
No.
Year Year
A. Loans to Related PartiesReserve Bank of India (All India Financial Institutions – Financial Statements: Presentation and Disclosures) – Amendment Directions,
2026
1 Aggregate value of loans sanctioned to related
parties during the year
2 Aggregate value of outstanding loans to related
parties as on 31st March
3 Aggregate value of outstanding loans to related
parties as a proportion of total credit exposure as
on 31st March
4 Aggregate value of outstanding loans to related
parties which are categorized as:
(i) Special Mention Accounts as on 31st March
(ii) Non-Performing Assets as on 31st March
5 Amount of provisions held in respect of loans to
related parties as on 31st March
B. Contracts and Arrangements involving Related Parties
6 Aggregate value of contracts and arrangements
awarded to related parties during the year
7 Aggregate value of outstanding contracts and
arrangements involving related parties as on 31st
March
4. The above amendments shall come into force from April 1, 2026. AIFIs may
however decide to implement the amendments in entirety from an earlier date.
Vaibhav Chaturvedi
(Chief General Manager)
2