Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions, 2026

**Executive Summary** This document, dated January 22, 2026, issues the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions, 2026. These directions modify the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Directions, 2025, effective immediately, as per the Banking Laws (Amendment) Act, 2025, and related publications. The document outlines specific amendments to existing regulations. **Key Points / Main Content** * **Amendment Directions and Scope:** * The directions are called "Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Amendment Directions, 2026." * These directions modify the "Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Directions, 2025." * The provisions of the amendment come into force with immediate effect. * **Amendments to RBI Directions, 2025:** * In paragraph 19 (1), the words "other development financial institutions as defined in section 2 (cccii) of the RBI Act, 1934" shall be inserted. * In paragraphs 27 (6) (v), the words ‘under "Cash in hand" shall be deleted. * In Annex I (Form A), the words "National Bank for Agriculture and Rural Development, Export Import Bank of India" shall be substituted with "the Exim Bank, the National Housing Bank, the National Bank, the Small Industries Bank, the National Bank for Financing Infrastructure and Development or the other development financial institution". * In Annex II (Form VIII): * The words "Export-Import Bank of India and National Bank for Agriculture and Rural Development" shall be substituted with "Exim Bank, National Bank, National Housing Bank, Small Industries Bank, National Bank for Financing Infrastructure and Development and other development financial institutions as defined in section 2 (cccii) of the Reserve Bank of India Act, 1934". * The word "specified" shall be substituted with "notified" and words “from time to time" shall be deleted. * A new item "Amount deposited with the Reserve Bank, under Standing Deposit Facility Scheme" shall be inserted. **Impact Analysis** **Regional Rural Banks (RRBs)** * **Impact:** RRBs must adhere to the updated definitions and reporting requirements for Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR). Changes to Annex I and Annex II, particularly regarding eligible institutions and reporting formats, directly affect their compliance and reporting procedures. * **Action Required:** RRBs must update their internal policies, procedures, and reporting templates to reflect the new definitions and reporting requirements outlined in the Amendment Directions. They should also familiarize themselves with the changes to Annex I and Annex II. **Regulatory Reporting and Compliance Departments within the RBI** * **Impact:** These departments need to update their supervisory frameworks and reporting systems to reflect the changes stipulated by the new amendment directions. * **Action Required:** Incorporate the changes into regulatory oversight processes and update internal systems to accommodate the modified reporting formats from RRBs. **Other Development Financial Institutions** * **Impact:** These institutions are impacted due to a change in wording in paragraph 19 (1) to include "other development financial institutions as defined in section 2 (cccii) of the RBI Act, 1934". * **Action Required:** No specific action is mentioned, but these institutions will need to review compliance with any requirements based on this updated wording.

Key Entities Referenced