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Master Circular: Scheme for Liberation and Rehabilitation of Scavengers (SLRS) (RBI/2007-2008/27)

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Issued by RBI: 02 Jul 2007  ·  Decoded by BankPulse: 21 Jun 2026, 03:02 IST
⏱ ~2 min read
📄 Official RBI source ↗
Quick answerRBI consolidated all prior instructions on the SLRS into a single Master Circular dated July 2, 2007. Public sector banks must follow updated guidelines for rehabilitating manual scavengers into dignified trades through loans and subsidies, with priority for women.

What changed

RBI issued a Master Circular that consolidates all previous circulars on the SLRS, effective from July 2, 2007. This replaces earlier piecemeal instructions with a single reference document for banks. The circular does not introduce new policy but compiles existing guidelines for easier compliance.

What it means for you

Banks now have a unified set of rules for implementing the SLRS, reducing confusion from multiple circulars. The scheme targets manual scavengers and their dependents, offering subsidized loans for alternative trades. Banks must prioritize women, who form the majority of manual scavengers, and ensure loans are not given to minors.

What you must do

Who it affects

All public sector banks in India, Manual scavengers and their dependents, Implementing agencies (e.g., state governments, training institutions), Ministry of Welfare and Ministry of Urban Development

Who is eligible for assistance under the SLRS?

Eligible are scavengers (partially or wholly engaged in manual removal of night soil) and their dependents, primarily from Scheduled Castes or other communities servicing dry latrines. Persons cleaning other types of filth are not covered.

What is the role of banks in this scheme?

Banks must provide loans and subsidies to eligible scavengers and dependents for alternative trades, as per the scheme's guidelines. They must follow the consolidated instructions in this Master Circular and report progress monthly.

Does this circular change any existing rules?

No, it consolidates all previous instructions into one document for ease of reference. Banks should continue following the same operational guidelines as before.

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AI-drafted · 3-model AI consensus fact-check · under the editorial review of Vikram Jain · decoded & published by BankPulse · 21 Jun 2026, 03:02 IST
Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=3692&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by Vikram Jain. Independent platform, not affiliated with the Reserve Bank of India; never reproduces RBI text verbatim.