Home › Circulars › RBI/2009-10/68

FCNR(B) Deposit Master Circular 2009: Key Updates for Banks

No longer current — withdrawn, no replacement on file yet

Source: Reserve Bank of India · RBI/2009-10/68 · issued 01 Jul 2009 · ~1 min read

Quick answerRBI updated its FCNR(B) deposit master circular as of July 1, 2009, consolidating all instructions issued up to June 30, 2009. This replaces the 2008 circular and covers interest rates, premature withdrawals, advances, and NRI account conversions. Banks must follow these updated guidelines for FCNR(B) accounts.

What changed

The master circular was updated to include instructions issued between July 1, 2008 and June 30, 2009. It supersedes the previous master circular dated July 1, 2008. The document consolidates all existing directives on FCNR(B) deposits into a single reference.

What it means for you

Banks must ensure their FCNR(B) deposit operations align with the latest consolidated guidelines. This includes adhering to updated rules on interest rates, premature withdrawals, and advances against these deposits. Non-compliance could lead to regulatory issues.

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

Replace the old 2008 master circular with this updated version for all FCNR(B) deposit operations.
Review and update internal policies on FCNR(B) interest rates, premature withdrawals, and advances to match the circular.
Train staff on the consolidated guidelines, especially sections on NRI account conversions and interest on overdue deposits.
Ensure systems reflect the correct interest rate structure as per Annex 1 of the circular.

Who it affects

All scheduled commercial banks (excluding RRBs), NRI depositors with FCNR(B) accounts, Bank staff handling FCNR(B) deposits and advances

❓ Common questions

Regulatory timeline

Decoded by BankPulse 2026-06-19 09:27 IST
repealed_by — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
Status change: withdrawn 03 Aug 2026, 04:00 IST

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

What is the purpose of this master circular?

It consolidates all RBI directives on FCNR(B) deposit interest rates issued up to June 30, 2009, replacing the July 1, 2008 circular.

Does this circular apply to Regional Rural Banks?

No, it applies to all scheduled commercial banks excluding Regional Rural Banks (RRBs).

What key areas does the circular cover?

It covers interest rates, premature withdrawals, advances against deposits, NRI account conversions, and other operational guidelines for FCNR(B) accounts.

📜 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 #1869: DBOD.No.Dir.BC.12/13.03.00/2009-10 — "Master Circular of Instructions relating to Deposits held in FCNR(B) Accounts" dated July 1, 2009”

📜 Read the original circular — full text as issued by RBI

RBI/2009-10/68  
 DBOD. No. Dir. BC.12 /13.03.00/2009-10  
 July 1, 2009 
 Ashadha 9, 1931(Saka) 
 All Scheduled Commercial Banks 
 (excluding RRBs) 
 Dear Sir
 Master Circular of instructions relating to deposits held in FCNR(B) Accounts 
 Please refer to the Master Circular DBOD No.Dir.BC.16/13.03.00/2008-09 dated July 1,2008 consolidating the instructions / guidelines issued to banks till June 30, 2008 relating to deposits held in FCNR(B) Accounts. The Master Circular has been suitably updated by incorporating the instructions issued up to June 30, 2009 and has been placed on the RBI website (http://www.rbi.org.in).   A copy of the Master Circular is enclosed.

 Yours faithfully
 (P. Vijaya Bhaskar) 
 Chief General Manager-in-Charge 
 Encl: as above 
 CONTENTS 
 Para No.

Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-10/68 · issued 01 Jul 2009. The plain-English explanation above is BankPulse’s own independent summary.

🧰 Tools — save, print, templates & related

Most relevant forNRI Relationship Manager Compliance Team Product Manager (Digital & Lending)Branch Manager — Private Bank / SFB Branch Operations (Accounts / FD / CASA)Teller / Cashier / Customer Service Officer

🛠 Banker’s toolkit — checklists & reply templates →

Related circulars · Department of Regulation

SFB Pillar 3 Disclosure Norms Aligned with Basel UCB Deposit Rate Disclosure & Uniformity Rules Updated LAB Deposit Rate Disclosure & Uniformity Rules Tightened Payments Banks: Interest Rates Must Match Disclosed Schedule RBI Updates Bulk Deposit Rate Rules and Disclosure Timing

Browse all departments →

💬 Banker Discussion

Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.

Loading comments…

BankPulse Compliance Evidence Pack — generated 03 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=5132&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.