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RBI's Fourth Amendment Directions on Urban Banks' CRR and SLR
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Reserve Bank of Indiabanking

RBI's Fourth Amendment Directions on Urban Banks' CRR and SLR

August 30, 2026

The RBI's Fourth Amendment Directions introduce changes to the CRR and SLR requirements for Urban Co-operative Banks, fostering better liquidity management practices.

Urban Co-operative Banks' CRR and SLR Revisions

On August 25, 2026, the RBI promulgated Fourth Amendment Directions focusing on CRR and SLR for Urban Co-operative Banks. This amendment is part of ongoing efforts initiated in November 2025.

The new directions grant exemptions from mandatory CRR and SLR maintenance for fresh Foreign Currency Non-Resident (B) deposits with specified minimum tenors. This is expected to support Urban Co-operative Banks in improving their liquidity positions.

Such regulatory changes can provide ample resource availability, aiding Urban Co-operative Banks in expanding their lending capabilities and better serving their customers.

Practitioners engaged with Urban Co-operative Banks should ensure compliance with these newly established regulations to enhance banks' financial agility and responsiveness.

Citations

  • RBI/2026-27/241 DOR.RET.REC.208/12.01.001/2026-27
Practice Areas:banking

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