No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2011-12/371 · issued 25 Jan 2012 · ~1 min read
Quick answerRBI reduced CRR for Scheduled State Co-operative Banks and Regional Rural Banks by 50 bps from 6.00% to 5.50% of NDTL, effective from the fortnight starting January 28, 2012. This frees up liquidity for these banks.
What changed
The Cash Reserve Ratio (CRR) for Scheduled State Co-operative Banks and Regional Rural Banks was reduced by 50 basis points, from 6.00% to 5.50% of their Net Demand and Time Liabilities (NDTL). This change takes effect from the fortnight beginning January 28, 2012, as announced in the Third Quarter Review of Monetary Policy 2011-12.
What it means for you
This CRR cut releases additional funds for these banks, improving their liquidity position and potentially enabling more lending. It reduces the cost of funds slightly, as less money is held idle with RBI. Banks should adjust their reserve maintenance calculations immediately to reflect the new 5.50% requirement.
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 CRR maintenance calculations to 5.50% of NDTL from the fortnight starting January 28, 2012.
Ensure compliance with the revised CRR requirement and acknowledge receipt of this circular to your Regional Office.
Monitor liquidity impact and adjust lending or investment strategies accordingly.
Who it affects
Scheduled State Co-operative Banks, Regional Rural Banks
RBI’s words: “in partial modification of the earlier notification RPCD.CO.RCB.BC.No.55/07.02.01/2011-12 dated January 25, 2012”
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1380: RPCD.CO.RCB.BC.No.55/07.02.01/2011-12 — "Notification on Maintenance of CRR" dated January 25, 2012”
📜 Read the original circular — full text as issued by RBI
RBI/2011-12/371
RPCD.CO.RCB.BC.No.56/07.02.01/2011-12
January 25, 2012
All Scheduled State Co-operative Banks / Regional Rural Banks
Dear Sir,
Section 42(1) of the Reserve Bank of India Act, 1934 - Maintenance of CRR
Please refer to our Circular RPCD.CO.RF.BC.No.75/07.02.01/2009-10 dated April 21, 2010 and RPCD.CO.RRB.No.73/03.05. 28(B)/2009-10 dated April 21, 2010 on the captioned subject.
2. The Reserve Bank in its Third Quarter Review of Monetary Policy 2011-12 issued on January 24, 2012 , decided to reduce the Cash Reserve Ratio (CRR) of Scheduled State Co-operative Banks / Regional Rural Banks by 50 basis points from 6.00 per cent to 5.50 per cent of their Net Demand and Time Liabilities (NDTL) with effect from the fortnight beginning January 28, 2012.
3. A copy of the relative notification RPCD.CO.RCB.BC.No.55/07.02.01/2011-12 dated January 25, 2012 is enclosed .
4. Please acknowledge receipt to our Regional Office concerned.
Yours faithfully,
(C.D.Srinivasan)
Chief General Manager
Encl: one
RPCD.CO.RCB.BC.No 55/07.02.01/2011-12
January 25, 2012
NOTIFICATION
In exercise of the powers conferred under the sub-section (1) of Section 42 of the Reserve Bank of India Act, 1934 and in partial modification of the earlier notification RPCD.CO.RF.BC.No.74/07.02.01/2009-10 dated April 21, 2010 and RPCD.CO.RRB.No.72/03.05. 28(B)/2009-10 dated April 21, 2010 , the Reserve Bank of India hereby notifies that the average Cash Reserve Ratio (CRR) required to be maintained by every Scheduled State Co-operative Bank / Regional Rural Bank shall be 5.50 per cent of its net demand and time liabilities from the fortnight beginning January 28, 2012.
(V.K.Sharma)
Executive Director
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2011-12/371 · issued 25 Jan 2012. The plain-English explanation above is BankPulse’s own independent summary.
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.
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=6968&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.
Help us keep this accurate
Found an inaccuracy or have an improvement? Tell us. Every report is reviewed by our team before any change is made — nothing goes live unverified.
Public beta — plain-English informational summaries. Always verify against the official RBI source (circular number cited on every page) before making compliance, credit, treasury, audit, or operational decisions. · Join our WhatsApp channel ↗
BANKPULSE · FREE DAILY BRIEF
Get RBI updates for your role
Every important RBI update, decoded in plain English — for your career, exams & financial awareness.
We collect only your email, name and role, used solely to send your brief — never sold or shared. Withdraw anytime via the unsubscribe link in any email. Independent platform, not affiliated with the RBI. Information, not legal advice.
REPORT AN ERROR · BETA
Spotted an error? Earn 500 BankPulse Credits
Help us stay accurate. If your correction is verified true and approved by our founder, you earn 500 BankPulse Credits — redeemable when the platform monetises.
Reviewed by a human before any credit is awarded. We never change the site from crowd input without verification.
WANT A NEW FEATURE · BETA
What would make BankPulse more useful for you?
Tell us what to build next — a tool, a data view, a role page, anything. We read every suggestion.
Thank you — your ideas directly shape what we build.