The Reserve Bank of India (RBI) on July 30, 2026, issued amendment Directions on Interest Rate on Deposits.
The RBI had earlier issued draft “Interest Rate on Deposits Amendment Directions, 2026” on June 5, 2026, inviting feedback from banks, stakeholders, and the public. The draft aimed to provide greater flexibility to banks in pricing Rupee bulk deposits, while ensuring standardized and transparent disclosure of deposit interest rates.
After reviewing the feedback received by the June 20, 2026 deadline, the RBI has incorporated necessary modifications into the final guidelines. A summary of stakeholder feedback and corresponding changes has been included in an annex to the final directions.
Accordingly, the RBI has now issued the final Amendment Directions applicable across multiple categories of banks, including commercial banks, small finance banks, regional rural banks, payment banks, local area banks, and urban co-operative banks.
These revised directions will come into effect from October 1, 2026, and are expected to enhance pricing flexibility, transparency, and consistency in deposit interest rate practices across the banking system.
[Press Release: 2026-2027/781]
