The Reserve Bank of India (RBI), on November 28, 2025, issued the Reserve Bank of India (Urban Co-operative Banks – Financial Statements: Presentation and Disclosures) Directions, 2025.
The following has been stated:-
• Accounting Standard 9 – Revenue Recognition:- Non-recognition of income by the bank in case of non-performing advances and non-performing investments, in compliance with the regulatory prescriptions of the Reserve Bank of India, shall not attract a qualification by the statutory auditors as this would be in conformity with provisions of the standard, as it recognises postponement of recognition of revenue where collectability of the revenue is significantly uncertain.
• Format of the balance sheet and profit and loss account: In terms of the provisions of section 29 read with section 56 of the Banking Regulation Act, 1949, a bank shall in respect of all business transacted by it prepare a Balance Sheet and Profit and Loss Account as on the last working day of the year or the period, as the case may be, in the Forms set out in the Third Schedule of the Banking Regulation Act, 1949 as substituted by clause (zl) of section 56 of the said Act.
[Notification no. RBI/DoR/2025-26/289 DoR.ACC.REC.No. 208/21.04.018/2025-26]
