The Reserve Bank of India (RBI), on June 05, 2026, released draft amendments to the Interest Rate on Deposits Directions applicable to Commercial Banks, Small Finance Banks, Regional Rural Banks, Payment Banks, Local Area Banks, and Urban Co-operative Banks. The proposed amendments aim to provide greater flexibility to banks in pricing Rupee bulk deposits while ensuring greater consistency and transparency in the disclosure of deposit interest rates.
The draft directions form part of RBI’s consultative approach to regulatory development and are intended to balance operational flexibility for regulated entities with enhanced disclosure standards for depositors and stakeholders. The proposals are expected to impact deposit pricing practices across various categories of banking institutions.
RBI has invited comments and feedback from regulated entities, industry participants, and the public up to June 20, 2026 through its “Connect 2 Regulate” platform or via email. The consultation process will help shape the final amendments before implementation.
[Press Release No. 2026-2027/399]
