RBI’s Amendment Directions, 2025 strengthen credit discipline and monitoring for cash credit, current, and overdraft accounts. Key takeaway: banks must manage accounts based on borrower exposure to mitigate credit risk.
The amendment directs payments banks to enforce account usage limits, monitor transactions biannually, and prevent pass-through or unauthorized activities, effective April 2026.
The RBI’s 2025 amendment revises account maintenance rules for Small Finance Banks to ensure stricter monitoring of CC, Current, and OD accounts. Banks must flag accounts, monitor usage, and prevent fund diversion to maintain credit discipline.
Banks must implement robust monitoring systems, flag high-risk accounts, and regularly review compliance. Accounts violating usage restrictions must be converted or closed within three months. This ensures transparency and effective tracking of fund utilization.
The 2025 amendment introduces the term “ineligible director” and prescribes a drawing-of-lots method for board reconstitution, clarifying removal and succession procedures in co-operative banks.
The 2025 amendment mandates unique identification marking for specified goods and imposes penalties for non-compliance, strengthening tracking and accountability under Manipur GST.
The 2025 amendment changes reporting dates in Forms VIII and X from alternate Fridays to the 15th and last day of the month, standardizing monthly compliance for banking companies.
NFRA seeks dynamic professionals for contract roles in finance, IT, and regulatory functions, offering exposure to financial reporting and auditing standards.
The government expands duty exemptions under the Diamond Imprest Authorisation to include IGST and Compensation Cess. The update enhances tax relief for eligible imports under the revised FTP 2023.
SEBI broadened the definition of institutional investors to include large family trusts and high-net-worth intermediaries. The amendment strengthens eligibility norms and supports deeper institutional participation in REITs.
