The Reserve Bank of India (RBI) on August 05, 2026, invited public comments on the Draft Guidelines for ‘On Tap’ Licensing of Urban Co-operative Banks (UCBs). The draft framework proposes a continuous ("on tap") licensing mechanism for Urban Co-operative Banks, enabling eligible applicants to seek a banking licence throughout the year instead of during specified application windows.
The RBI has sought feedback from stakeholders on the proposed licensing framework as part of its consultative approach to strengthening the regulatory regime for the urban co-operative banking sector. Comments and suggestions may be submitted through the "Connect 2 Regulate" section available on the RBI website or by email with the subject line "Feedback on Draft Guidelines for ‘On Tap’ Licensing of Urban Co-operative Banks".
Stakeholders may submit their comments up to September 5, 2026. Feedback may also be sent by post to the Chief General Manager, Department of Regulation, Registration and Licensing Section (Co-operative Banks), Reserve Bank of India, Central Office, Mumbai. The consultation aims to obtain stakeholder inputs before finalising the guidelines.
[Press Release: 2026-2027/816]
