Home › Circulars › RBI/2008-09/422

RBI Extends Transition Period for MF Loans and IPCs to June 30, 2009

No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2008-09/422 · issued 30 Mar 2009 · ~1 min read
Quick answerRBI has extended the transition period for banks to comply with capital market exposure norms on loans to mutual funds and Irrevocable Payment Commitments (IPCs) from March 31, 2009 to June 30, 2009.

What changed

The transition period for banks to meet the requirements under the December 14, 2007 circular on loans to mutual funds and IPCs, previously extended to March 31, 2009, has been further extended to June 30, 2009. This follows a review of the earlier extension granted in December 2008.

What it means for you

Banks get an additional three months to align their lending practices to mutual funds and IPC issuance with RBI's capital market exposure guidelines. This provides temporary relief for banks that were still adjusting to the norms, but the deadline remains firm.

Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.

What banks were required to do at the time

Who it affects

All Scheduled Commercial Banks (excluding RRBs), Mutual Funds receiving loans from banks, Banks issuing Irrevocable Payment Commitments (IPCs)

❓ Common questions

Regulatory timeline

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

What is the new deadline for compliance with the December 14, 2007 circular?

The transition period has been extended to June 30, 2009, from the earlier deadline of March 31, 2009.

Does this extension apply to all banks?

Yes, it applies to all Scheduled Commercial Banks, excluding Regional Rural Banks (RRBs).

📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed by RBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1962: DBOD.No.Dir.BC.119/13.03.00/2008-2009 — "Banks' Exposure to Capital Market - Loans extended by Banks to Mutual Funds and Issue of Irrevocable Payment Commitme”
📜 Read the original circular — full text as issued by RBI
Please refer to our circular No. DBOD.Dir.BC.98/13.03.00/2008-2009 dated December 12, 2008, in terms of which the transition period allowed to banks to comply with the requirements contained in our circular No. DBOD.Dir.BC.57/ 13.03.00/2007-2008 dated December 14, 2007, was extended up to March 31, 2009. On a review, it has been decided to further extend the transition period up to June 30, 2009 .
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2008-09/422 · issued 30 Mar 2009. The plain-English explanation above is BankPulse’s own independent summary.
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BankPulse Compliance Evidence Pack — generated 05 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly).
Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=4911&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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