The Reserve Bank of India had issued draft circular on ‘Forms of Business and Prudential Regulation for Investments’ on October 04, 2024, seeking feedback from banks and other stakeholders. The objective of the draft circular was to review regulations on ringfencing of banks’ core business from other risk bearing non-core businesses as also to provide level playing field.
2. Feedback received on the draft has been examined and suitably incorporated in the final directions. A statement on the feedback received for the draft circular is provided in the Annex.
3. Accordingly, the Reserve Bank of India has today issued the following five Amendment Directions to amend the extant instructions on Undertaking of Financial services by various regulated entities.
Reserve Bank of India (Commercial Banks – Undertaking of Financial Services) Amendment Directions, 2025.
Reserve Bank of India (Small Finance Banks – Undertaking of Financial Services) Amendment Directions, 2025.
Reserve Bank of India (Payments Banks – Undertaking of Financial Services) Amendment Directions, 2025.
Reserve Bank of India (Non-Banking Financial Companies – Undertaking of Financial Services) Amendment Directions, 2025.
Reserve Bank of India (Non-Operative Financial Holding Companies) Amendment Directions, 2025.
(Brij Raj) Chief General Manager
Press Release: 2025-2026/1640