The Ministry of Finance (MoF) on August 06, 2026, notified regarding the exemption from the applicability of Section 15(1) of the Banking Regulation Act, 1949 – Treatment of Unamortized EIR Expenditure.
The Government has exempted banking companies from the applicability of Section 15(1) of the Banking Regulation Act, 1949, specifically in relation to the treatment of unamortized expenditure arising from recognition of income under the “Effective Interest Rate (EIR)” method. This treatment is in accordance with the RBI (Commercial Banks – Asset Classification, Provisioning and Income Recognition) Directions, 2026, issued vide Circular dated April 27, 2026.
[Notification No. - S.O. 4343(E)]
