The Reserve Bank of India (RBI) on May 25, 2026, issued the final Amendment Directions on Cooling-off Period for Directors of Co-operative Banks.
The following has been stated:
• The RBI has issued the final amendment directions for governance norms applicable to Urban Co-operative Banks (UCBs) and Rural Co-operative Banks (RCBs) after reviewing stakeholder feedback received on the draft directions released on January 08, 2026. The amendments introduce a mandatory cooling-off period for directors who complete a continuous tenure of ten years on the board of a co-operative bank.
• RBI has incorporated suitable modifications in the final directions based on comments received from stakeholders and has also released a feedback statement along with the final amendment directions for :
o Reserve Bank of India (Urban Co-operative Banks - Governance) Amendment Directions, 2026
o Reserve Bank of India (Rural Co-operative Banks - Governance) Amendment Directions, 2026
[Press Release: 2026-2027/326]
