Co-op Banks: CRR/SLR Exemption on IDBI Current Account Balances
No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2010-11/302 · issued 07 Dec 2010 · ~1 min read
Quick answerState and Central Co-operative Banks are exempted from maintaining CRR and SLR on amounts deposited in current accounts with IDBI Bank Limited, until further order.
What changed
RBI has exempted StCBs and DCCBs from CRR under Section 18 and SLR under Section 24 of the Banking Regulation Act, 1949, for balances held in current accounts with IDBI Bank. This exemption is effective until further notice, superseding earlier requirements.
What it means for you
Co-operative banks can now park funds with IDBI Bank without needing to set aside additional reserves for those deposits, improving liquidity management. This reduces the compliance burden and frees up funds for lending or other operations, though the exemption is temporary and subject to review.
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
Update internal CRR/SLR computation systems to exclude IDBI current account balances from reserve requirements.
Inform treasury and compliance teams about the exemption and its indefinite validity.
Monitor RBI notifications for any future changes to this exemption.
Ensure accurate reporting of balances to avoid penalties during inspections.
Who it affects
State Co-operative Banks (StCBs), Central Co-operative Banks (DCCBs), IDBI Bank Limited
❓ Common questions
Regulatory timeline
Decoded by BankPulse2026-06-19 03:28 IST
repealed_by — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
Status change: withdrawn03 Aug 2026, 04:00 IST
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
Does this exemption apply to all deposits with IDBI Bank?
No, it applies only to amounts deposited in current accounts with IDBI Bank, not to other types of accounts or deposits.
Is this exemption permanent?
No, it is valid 'till further order,' meaning RBI may revoke or modify it in the future.
📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1579: RPCD.CO.RCB.BC.No.34/07.02.01/2010-11 — "Balances held by State and Central Co-operative Banks with IDBI Bank Limited - Treatment for CRR / SLR Purpose" dated”
📜 Read the original circular — full text as issued by RBI
RBI/2010-11/302
RPCD.CO.RCB.BC.No.34/07.02.01/2010-11
December 7, 2010
The Chief Executive Officers,
All State / Central Co-operative Banks (StCBs/DCCBs)
Dear Sir,
Balances held by State and Central Co-operative Banks with IDBI Bank
Limited - Treatment for CRR / SLR Purpose
It has been decided that State and Central Co-operative Banks are exempted till further order from the obligation of maintenance of cash reserve ratio (CRR) under section 18 or assets in the form of cash, gold or unencumbered approved securities under section 24 read with section 56 of the Banking Regulation Act, 1949, to the extent of the amounts deposited by them with IDBI Bank Limited, in current account.
2. A copy of the notification RPCD.CO.RCB.No.26/07.02.01/2010-11 dated October 22, 2010 published in Part III Section 4 of the Gazette of India (Extraordinary) dated November 6, 2010 is enclosed.
3. Please acknowledge receipt to the Regional Office concerned.
Yours faithfully,
(B.P.Vijayendra)
Chief General Manager
Encl: As stated
The Gazette of India
EXTRAORDINARY
PART III-Section 4
PUBLISHED BY AUTHORITY
No.295] New Delhi, Saturday, November 6, 2010/Kartika 15, 1932
RESERVE BANK OF INDIA
NOTIFICATION
Mumbai, the 22nd October, 2010
F.No.RPCD.CO.RCB.No.26/ 07.02.01/2010-11
Whereas Reserve Bank is satisfied that in public interest, in the interest of depositors and in the interest of the banking policy, it is necessary so to do, in exercise of powers conferred by Section 24A read with Section 56 of the Banking Regulation Act, 1949, the Reserve Bank hereby notifies that State Co-operative Banks and Central Co-operative Banks, are exempted, till further order, from the obligation of maintenance of cash reserve ratio (CRR) under Section 18 or assets in the form of cash gold or unencumbered approved securities under Section 24 read with section 56 of the Banking Regulation Act, 1949, to the extent of the amounts deposited by them with IDBI Bank Limited, in current account.
(V.K.Sharma)
Executive Director
[ADVT.III/4/38/10/Exty.]
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2010-11/302 · issued 07 Dec 2010. The plain-English explanation above is BankPulse’s own independent summary.
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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=6135&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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