The Reserve Bank of India issued the Small Finance Banks — Responsible Business Conduct Amendment Directions, 2026 on April 29, 2026, to strengthen banking services during calamities. Exercising powers under Sections 21 and 35A of the Banking Regulation Act, 1949, the RBI inserted new provisions under Chapter V on Financial Inclusion and Accessibility. The amendment allows banks to operate affected branches from temporary premises with intimation to the RBI and requires approval for continuation beyond 30 days. It mandates alternative service delivery through satellite offices, extension counters, and mobile banking units, along with immediate restoration of ATM services and interim cash arrangements. The directions also permit opening of small accounts for displaced individuals lacking documentation and enable banks to waive or reduce customer charges for up to one year in calamity-affected areas. Effective from July 1, 2026, the amendment aims to ensure continuity of banking services, financial inclusion, and customer relief during disasters.
Reserve Bank of India
RBI/2026-27/50
DOR.STR.REC.39/21-04-048/2026-27 | Dated: April 29, 2026
Reserve Bank of India (Small Finance Banks — Responsible Business Conduct) Amendment Directions, 2026
Please refer to Reserve Bank of India (Small Finance Banks — Resolution of Stressed Assets) Amendment Directions, 2026 dated April 29, 2026.
2. Consequent to the aforesaid Amendment Directions, in exercise of the powers conferred by the sections 21 and 35A of the Banking Regulation Act, 1949 and all other laws enabling the Reserve Bank of India (hereinafter called 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:
i. In Chapter V — Financial Inclusion and Accessibility, part E shall be inserted as under:
E. Banking services in case of declaration of calamity
121A. A bank may operate their calamity affected branches from temporary premises under advice to the concerned Regional Office of RBI. For continuing the temporary premise beyond 30 days, banks may obtain specific approval from the respective Regional Office of RBI. A bank shall also make arrangements to render banking services in the affected areas by setting up satellite offices, extension counters or mobile banking facilities etc. under intimation to Reserve Bank
121B. A bank shall take immediate action for restoration of ATM services at the earliest. During the period, it shall provide alternative arrangements to address the immediate cash requirements of the affected areas.
121C. Persons displaced or adversely affected by a calamity may not have access to their identification and personal records. In such cases, small accounts as stipulated in the Reserve Bank of India (Small Finance Banks —Know Your Customer) Directions, 2025, may be opened by banks.
121D. A bank at its discretion, may provide relief measures such as waiver / reduction of various fees and charges in respect of customers in the areas where a calamity has been declared, for a period not exceeding one year.
4. The above amendment shall come into force with effect from July 1, 2026.
(Vaibhav Chaturvedi)
Chief General Manager
