Summary: The Reserve Bank of India (RBI) has issued the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Fourth Amendment Directions, 2026 on August 25, 2026. The Amendment Directions modify the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Directions, 2025, specifically the temporary exemptions from Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR) maintenance provided for certain fresh FCNR(B) and NRE term deposits.
The underlying framework had provided exemption from CRR and SLR maintenance for fresh FCNR(B) deposits having a minimum tenor of three years and maximum tenor of five years and fresh Non-Resident (External) Rupee (NRE) term deposits having a tenor of three years or more. The exemption covered deposits mobilized, including deposits renewed upon maturity, during specified periods. The relevant provisions originated from the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Second Amendment Directions, 2026 dated June 8, 2026, and the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Third Amendment Directions, 2026 dated June 19, 2026.
Under the Second Amendment Directions, fresh FCNR(B) deposits of minimum three-year and maximum five-year tenor mobilized by Regional Rural Banks between June 8, 2026 and September 30, 2026 were granted the specified CRR and SLR exemption. Under the Third Amendment Directions, fresh NRE term deposits of three years or more mobilized between June 19, 2026 and September 30, 2026 were similarly covered. The present Fourth Amendment Directions change the terminal date in both provisions from September 30, 2026 to August 31, 2026.
Accordingly, paragraph 20(5) of the 2025 Directions is amended so that the relevant FCNR(B) deposits must be mobilized between June 8, 2026 and August 31, 2026, instead of June 8, 2026 and September 30, 2026. Paragraph 20(6) is similarly amended so that the relevant NRE term deposits must be mobilized between June 19, 2026 and August 31, 2026, instead of June 19, 2026 and September 30, 2026.
The Amendment Directions have been issued in exercise of powers under Section 35A of the Banking Regulation Act, 1949 and pursuant to Section 42 of the Reserve Bank of India Act, 1934 and Sections 18 and 24 of the Banking Regulation Act, 1949, as amended from time to time. The Directions come into force with immediate effect.
RESERVE BANK OF INDIA
RBI/2026-27/240
DOR.RET.REC.207/12.01.001/2026-27 |Dated: August 25, 2026
Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Fourth Amendment Directions, 2026
Please refer to the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Directions, 2025 (updated as on June 19, 2026) wherein exemption from CRR and SLR maintenance have been provided to fresh FCNR(B) deposits of minimum tenor of three years and maximum tenor of five years and fresh Non-Resident (External) Rupee (NRE) term deposits of tenor of three years or more mobilized (including deposits that are renewed upon maturity) by the banks between June 8, 2026 to September 30, 2026 and June 19, 2026 to September 30, 2026 respectively. On review, it has been decided to amend the date “September 30, 2026” to the date “August 31, 2026” for the aforesaid exemptions.
2. Accordingly, in exercise of the powers conferred by Section 35A of the Banking Regulation Act, 1949 and pursuant to Section 42 of the Reserve Bank of India Act, 1934 and Sections 18 and 24 of Banking Regulation Act, 1949, as amended from time to time, and all other provisions / laws enabling the Reserve Bank of India 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 Directions shall be called the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Fourth Amendment Directions, 2026.
4. The provisions shall come into force with immediate effect.
5. These Amendment Directions modify the Reserve Bank of India (Regional Rural Banks – Cash Reserve Ratio and Statutory Liquidity Ratio) Directions, 2025 as under:
i. In paragraph 20(5), the words “between June 8, 2026 and September 30, 2026” shall be substituted with “between June 8, 2026 and August 31, 2026”.
ii. In paragraph 20(6), the words “between June 19, 2026 and September 30, 2026” shall be substituted with “between June 19, 2026 and August 31, 2026”.
Yours faithfully,
(Manoranjan Padhy)
Chief General Manager
