RBI allows Boards to delegate oversight of ATM cassette swap implementation to qualified committees, easing operational compliance.
RBI Allows Delegation of ATM Cassette Swap Oversight
On October 1, 2026, the Reserve Bank of India (RBI) issued a modification to its March 31, 2022 circular on cassette swaps in ATMs, permitting the Board of a bank to delegate monitoring of the implementation process to a qualified committee. The change enhances operational flexibility while retaining accountability.
Cassette swaps involve replacing entire cassettes in ATMs with pre-packed ones, reducing cash handling time and exposure. The original circular required Board-level oversight of rollout. The revised guidance allows delegation to a senior management or internal audit committee, provided progress reports are submitted quarterly to the Board.
This modification reduces governance burden on Boards without diluting oversight. Banks must ensure that delegated committees maintain detailed records and assess risks related to cash loss, counterfeit exposure, and logistical delays. The move supports faster nationwide adoption of secure cash logistics.
Citations
- RBI/2021-22/190
