The Reserve Bank of India (RBI), on April 27, 2026, issued the Reserve Bank of India (Local Area Banks – Miscellaneous) Amendment Directions, 2026, amending the 2025 Directions in exercise of powers under the Banking Regulation Act, 1949.
The amendment updates Annex XII of the Directions by adding “AgriSURE - Agri Fund for Start Ups & Rural Enterprises,” thereby expanding the scope of permissible activities for Local Area Banks (LABs). This inclusion enables LABs to engage with initiatives supporting agricultural startups and rural enterprise development.
The amendment has been made effective immediately, reinforcing the role of Local Area Banks in promoting rural financing and innovation within the agri ecosystem.
[Notification No. RBI/2026-27/15]
