HomeCirculars › RBI/2020-21/95

NSFR Implementation Deferred to October 2021

No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2020-21/95 · issued 05 Feb 2021 · ~1 min read
Quick answerRBI has deferred the Net Stable Funding Ratio (NSFR) implementation by six months to October 1, 2021, due to COVID-19 stress. Banks get more time to align funding profiles.

What changed

The NSFR guidelines, originally set for April 1, 2021, have been postponed to October 1, 2021. This follows a previous deferral from an earlier date due to the pandemic.

What it means for you

Banks have additional breathing room to adjust their stable funding requirements without immediate compliance pressure. This extension helps manage liquidity amid ongoing economic uncertainty, but banks should continue preparations to meet the new deadline.

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 commercial banks (excluding RRBs, LABs, and Payments Banks), Treasury and risk management departments, Compliance and regulatory reporting teams

❓ Common questions

Regulatory timeline

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

Why was NSFR implementation deferred again?

The deferral is due to ongoing stress from COVID-19, giving banks more time to prepare without immediate compliance pressure.

What is the new effective date for NSFR?

The NSFR guidelines will now come into effect from October 1, 2021.

Which banks are covered by this circular?

All commercial banks except Regional Rural Banks, Local Area Banks, and Payments Banks.

📜 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Repealed by RBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)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 #327: DOR.No.LRG.BC.40/21.04.098/2020-21 — "Basel III Framework on Liquidity Standards - Net Stable Funding Ratio (NSFR)" dated February 5, 2021”
📜 Read the original circular — full text as issued by RBI
RBI/2020-21/95 DOR.No.LRG.BC.40/21.04.098/2020-21 February 05, 2021 All Commercial Banks (excluding Regional Rural Banks, Local Area Banks and Payments Banks) Dear Sir/Madam, Basel III Framework on Liquidity Standards – Net Stable Funding Ratio (NSFR) Please refer to our circular DBR.BP.BC.No.106/21.04.098/2017-18 dated May 17, 2018 on Basel III Framework on Liquidity Standards - Net Stable Funding Ratio (NSFR)-Final Guidelines (‘NSFR Guidelines’) and circular DOR.BP.BC.No.16/21.04.098/2020-21 dated September 29, 2020 deferring the implementation of the said guidelines till April 1, 2021. 2. In view of the ongoing stress on account of COVID-19, it has been decided to defer the implementation of NSFR guidelines by a further period of six months. Accordingly, the NSFR Guidelines shall come into effect from October 1, 2021. Yours faithfully (Usha Janakiraman) Chief General Manager
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2020-21/95 · issued 05 Feb 2021. 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=12025&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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