The Reserve Bank of India (RBI) on November 28, 2025, issued the Reserve Bank of India (Regional Rural Banks – Credit Facilities) Directions, 2025.
The following has been stated: -
•The Reserve Bank of India (RBI) Directions, 2025, provide comprehensive guidelines for Regional Rural Banks (RRBs) on credit facilities, including digital lending, lending against gold and silver, microfinance, housing finance, and non-fund-based facilities.
•Banks must have Board-approved policies addressing risk management, borrower protection, and credit assessment.
•Digital lending through LSPs must ensure transparency, data privacy, and proper grievance redressal. Loans against gold and silver have capped LTV ratios, valuation norms, and restrictions to prevent misuse.
•Microfinance loans are collateral-free, with income-based assessment and repayment limits to protect low-income households.
•These directions shall come into effect from November 28, 2025.
[Notification No.: RBI/DOR/2025-26/253 DOR.CRE.REC.No. /07-01-004/2025-26]
