The Reserve Bank of India (RBI) on June 16, 2026, notified the Reserve Bank of India (All India Financial Institutions – Prudential Norms on Capital Adequacy) Third Amendment Directions, 2026 to amend the Reserve Bank of India (All India Financial Institutions – Prudential Norms on Capital Adequacy) Directions, 2025.
The following has been stated:-
•The Reserve Bank of India has issued the Third Amendment Directions, 2026 to the All India Financial Institutions – Prudential Norms on Capital Adequacy Directions, 2025.
•Under the amendment, exposures covered under the Government’s Emergency Credit Line Guarantee Scheme (ECLGS) 5.0 will receive a zero percent risk weight for up to 75% of the guaranteed portion, where the settlement amount is expected within 30 days of guarantee invocation.
•The remaining portion of the exposure will continue to attract risk weights as per existing prudential norms.
•This measure aims to provide capital relief to financial institutions and has come into effect immediately.
The detailed notification is given in the document below.
[Notification No.: RBI/2026-27/133 DOR.STR.REC.112/21-01-002/2026-27]
