What changed
RBI extended the revised review calendar (originally for public sector banks via circular DBOD.No.BP.BC.71/21.03.038/2007-08 dated April 22, 2008) to private sector banks. Banks without a Management Committee must place those reviews before the Board. The earlier 2005 circular on this subject is superseded.
What it means for you
Private banks must align their governance review schedules with the new minimum requirements set by RBI. Boards retain discretion to add more reviews. This ensures consistent oversight across all scheduled commercial banks.
What you must do
- Adopt the revised calendar of reviews from the April 22, 2008 circular for Board, Management Committee, and Audit Committee.
- If your bank lacks a Management Committee, ensure Annexure II reviews go directly to the Board.
- Implement the new schedule from July 1, 2008, and discard the 2005 circular.
- Communicate the changes to all relevant committees and compliance teams.
Who it affects
All private sector banks, Board of Directors, Management Committee, Audit Committee, Compliance and governance teams
What if my private bank doesn't have a Management Committee?
Reviews listed in Annexure II of the April 22, 2008 circular must be placed before the Board of Directors instead.
Does this circular apply to foreign banks operating in India?
The circular specifically addresses private sector banks. Foreign banks may need to check if similar requirements apply via other RBI instructions.
Can our Board add more reviews beyond the minimum?
Yes, the circular explicitly states that the calendar outlines critical minimum requirements, and Boards have discretion to prescribe additional reviews.