The Reserve Bank of India (RBI), on September 22, 2026, issued the Master Direction – Reserve Bank of India (Credit Derivatives) Directions, 2026, which was updated as on September 22, 2026. The Directions were issued pursuant to the RBI’s policy announcement regarding the introduction of derivatives on credit indices and total return swaps on corporate bonds and were finalised after considering feedback received on the draft directions issued for public comments.
The Directions establish the regulatory framework applicable to participants in the credit derivatives markets and were issued under the powers conferred on RBI by Section 45W of the Reserve Bank of India Act, 1934. The final Directions supersede the draft framework following the public consultation process and provide the applicable regulatory requirements for credit derivative transactions.
The Master Direction is effective immediately, and therefore applies from June 25, 2026, subject to the provisions and updates incorporated in the Direction as amended/updated up to September 22, 2026.
[Master Direction No. RBI/FMRD/2026-27/407]
