Summary: The Reserve Bank of India issued the Non-Banking Financial Companies – Prudential Norms on Capital Adequacy (Amendment) Directions, 2026, amending the 2025 Directions after a regulatory review under Chapter IIIB of the RBI Act, 1934. The amendment revises risk weights for loans to high-quality infrastructure projects. Loans qualify for a 75% risk weight where the borrower has repaid at least 2% of the sanctioned project debt, and a 50% risk weight where repayment is at least 5%. If such projects later fail to meet these conditions, higher risk weights prescribed elsewhere will apply. Repayment thresholds must be calculated on the sanctioned project debt, with any additional debt—whether from takeovers or otherwise—clubbed with existing project loans for threshold determination. The Directions apply from April 1, 2026, or earlier if adopted in full by an NBFC. Transitional relief allows existing lower risk weights to continue until the next review/renewal or March 31, 2027, whichever is earlier. Issued by Reserve Bank of India.
Reserve Bank of India
RBI/2025-26/168
DOR.CRE.REC.373/21-01-002/2025-26 | Dated: January 1, 2026
Reserve Bank of India (Non-Banking Financial Companies – Prudential Norms on Capital Adequacy) Amendment Directions, 2026
The Reserve Bank had issued the Reserve Bank of India (Non-Banking Financial Companies – Prudential Norms on Capital Adequacy) Directions, 2025 (hereinafter referred to as ‘the Directions’).
2. On a review, in exercise of the powers conferred by Chapter III B of the Reserve Bank of India Act, 1934 and all other laws enabling 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. These Amendment Directions modify the Directions as under:
Sr. no. 2 (e) of the Table under paragraph 18(1) shall stand modified as under:
| Sr. No. | On-balance Sheet items | Percentage Weight |
| (e) (i) | Loans to ‘High-quality infrastructure projects’ as defined in the Reserve Bank of India (Non-Banking Financial Companies – Concentration Risk Management) Amendment Directions, 2026 and here the borrower has repaid at least 2 per cent of the sanctioned project debt. | 75 |
| (e) (ii) | Loans to ‘High-quality infrastructure projects’ as defined in the Reserve Bank of India (Non-Banking Financial Companies – Concentration Risk Management) Amendment Directions, 2026 and where the borrower has repaid at least 5 per cent of the sanctioned project debt.
Provided that, for sl no.(e)(i) and (e)(ii) above, in the event the projects that qualify as High-quality infrastructure projects subsequently fail to meet these conditions, they shall be subject to risk weights prescribed under Sr. no.3(e) or (g), as applicable, of this table. Provided further that for sl no.(e)(i) and (e)(ii) above the repayment threshold should be determined based on the sanctioned project debt. Additional debt, if any, sanctioned as a part of takeover of the loan or otherwise should be clubbed with previous loan(s) sanctioned against the project assets and/or cash flows to determine the repayment threshold. |
50 |
4. The Amendment Directions shall be applicable from April 1, 2026, or from an earlier date when these Directions are adopted by a NBFC in entirety.
Provided that, in case of exposures attracting a lower risk weight under the extant guidelines but will be subject to higher risk weights under these Directions, NBFCs can continue to maintain the extant risk weights till the next review / renewal or March 31, 2027, whichever is earlier.
(Vaibhav Chaturvedi)
Chief General Manager
