**Executive Summary**
The Reserve Bank of India (RBI) issued Amendment Directions on December 4, 2025, concerning Rural Co-operative Banks. These directions, effective immediately, modify the "Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) Directions, 2025" issued on November 28, 2025, to include new requirements for displaying the bank's name and norms for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934.
**Key Points / Main Content**
* **Amendment Title:** Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) (Amendment) Directions, 2025.
* **Effective Date:** Immediate.
**Display of Bank's Name:**
* The bank's full name must be displayed on stationery, publicity material, websites, mobile applications, and name boards, conforming to the Certificate of Registration and banking license.
* While abbreviations/abridged names/logos are permitted for branding, the full name must also be displayed, with the font size no smaller than the abbreviated name/logo.
* The words "co-operative bank/ sahakari bank" must be prominently displayed in equal fonts within the full/abbreviated name.
* Non-compliance will result in penalties and enforcement action.
**Norms for inclusion of a StCB in the Second Schedule to the Reserve Bank of India Act, 1934:**
* StCBs compliant with ECBA may apply to the Regional Office of the Reserve Bank for inclusion, provided they meet additional norms.
* **Additional Norms:**
* CRAR of at least 3% above the minimum requirement.
* No major regulatory or supervisory concerns.
* **Application Requirements:**
* Based on assessed financials and NABARD inspection report or audited financial statements.
* StCB to submit a copy to NABARD, which then forwards to the Regional Office of the Reserve Bank.
* Documents required:
* Resolution from the Annual General Body/Board of Directors applying to RBI for inclusion.
* Major financial details and balance sheets for the last three years.
**Impact Analysis**
**Rural Co-operative Banks (StCBs)**
* **Impact:**
* Must adhere to new display requirements for their name on all materials.
* Must meet specific CRAR and regulatory standards to be considered for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934.
* **Action Required:**
* Adjust display of name across all platforms to comply with regulations.
* Review financial status and regulatory compliance. If eligible, prepare and submit an application with required documents to the Regional Office of the Reserve Bank of India, forwarding a copy to NABARD.
**Reserve Bank of India (RBI)**
* **Impact:**
* Will receive and process applications from StCBs seeking inclusion in the Second Schedule, based on the new norms.
* **Action Required:**
* Implement procedures for reviewing applications based on the revised criteria.
**NABARD**
* **Impact:**
* NABARD must forward StCB applications to the Regional Office of the Reserve Bank of India.
* **Action Required:**
* Implement procedures to forward applications of StCBs to the RBI Regional Office with comments and recommendations.
Key Entities Referenced
Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) (Amendment) Directions, 2025: The primary subject of the document, these directions amend existing guidelines for rural co-operative banks.
Reserve Bank of India: The regulator and issuer of the directions, responsible for overseeing the banking system.
Banking Regulation Act, 1949: The Act under which the Reserve Bank derives its power to issue these directions.
Reserve Bank of India Act, 1934: Referenced in relation to norms for inclusion of StCB in the Second Schedule.
NABARD: National Bank for Agriculture and Rural Development, referenced in context of StCB inclusion in Second Schedule to the Reserve Bank of India Act, 1934.
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
RBI/DOR/2025-26/123
DOR.SOG(SPE).REC.No.329/13-04-001/2025-26 December 04, 2025
Reserve Bank of India (Rural Co-operative Banks – Miscellaneous)
(Amendment) Directions, 2025
Reserve Bank of India had issued Reserve Bank of India (Rural Co-operative Banks –
Miscellaneous) Directions, 2025 (DoR.SOG(SPE).REC.No.238/13-04-001/2025-26) on
November 28, 2025. In exercise of powers conferred by Section 35A read with Section 56
of the Banking Regulation Act, 1949, as amended vide Banking Regulation (Amendment)
Act 2020 (39 of 2020) and all other provisions / laws enabling the Reserve Bank of India
(‘RBI’) in this regard, RBI being satisfied that it is necessary and expedient in the public
interest to do so, hereby issues these Directions hereinafter specified.
1. These Directions shall be called the Reserve Bank of India (Rural Co-operative Banks
– Miscellaneous) (Amendment) Directions, 2025.
2. These Directions shall come into force with immediate effect.
3. These Amendment Directions shall modify the Reserve Bank of India (Rural Co-
operative Banks – Miscellaneous) Directions, 2025 (hereinafter referred to as ‘Master
Direction’) as under –
4. After paragraph 36 of the Master Direction, the following sub-paras shall be inserted,
namely -
B. Display of Bank’s Name
36A. A bank should generally display its full name in any stationery item, publicity
material, website, mobile application, advertisement, name board, etc., and the same
must conform to the name as it appears in the Certificate of Registration granted by the
RCS and the banking licence granted by the Reserve Bank.
36B. While the use of abbreviation/abridged name/logo, etc., is permitted as part of the
brand building effort of the bank, it must be ensured that the full name as appearing in
the banking licence is also shown along with such abbreviated/abridged name/logo in all
publicity material/stationery. Besides, the font size used for the full name shall not besmaller than the one used for the abbreviated name/abridged name/logo. The words "co-
operative bank/ sahakari bank”, indicating the nature of the bank, must be prominently
displayed in the full name/ abbreviation/abridged name/logo of the bank in equal fonts.
Any contravention or non-compliance to the same will attract penalties and enforcement
action.
C. Norms for inclusion of a StCB in the Second Schedule to the Reserve Bank of
India Act, 1934
36C.StCBs in compliance with ECBA and the following additional norms, may apply to the
Regional Office concerned of the Reserve Bank for inclusion in the Second Schedule to
the Reserve Bank of India Act, 1934:
(1) CRAR of at least 3 per cent more than the minimum CRAR requirement
applicable to the bank; and
(2) No major regulatory and supervisory concerns.
36D. The above information shall be based on the assessed financials and findings of the
NABARD inspection report or audited financial statements, whichever is the latest. The
StCB shall submit a copy to NABARD, which in turn shall forward it to the Regional Office
of the Reserve Bank, along with its comments and recommendation in terms of sub-
section (6A) of section 42 of the Reserve Bank of India Act, 1934. An eligible StCB shall
submit its application with the following documents:
(1) Copy of the resolution passed by the Annual General Body / Board of Directors
to make an application to RBI for inclusion in the Second Schedule to the
Reserve Bank of India Act, 1934 and containing the name(s) of bank official(s)
authorized to correspond with RBI in this regard; and
(2) Major financial details of the bank together with copies of the published balance
sheet for the last three years.
(Manoranjan Padhy)
Chief General Manager
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