The Reserve Bank of India (RBI) on October 01, 2026, issued a notification regarding an amendment to the directions on ‘Simplified approval process for subsequent acquisitions of major shareholding in a banking company by mutual funds, insurance companies and pension funds’.
The following has been stated: -
•The RBI issues Amendment Directions on Acquisition and Holding of Shares or Voting Rights: The Reserve Bank of India has issued final amendments to simplify the approval process for subsequent acquisitions of major shareholding in banking companies by mutual funds, insurance companies and pension funds, following stakeholder feedback on the draft directions.
•The amendments have been incorporated into the respective frameworks for Commercial Banks, Small Finance Banks, Payments Banks and Local Area Banks.
•The Amendment Directions have come into immediate effect.
[Notification No.: 2026-2027/1233]
