HomeCirculars › RBI/2024-25/02

Master Circular on Lead Bank Scheme 2024

Current · Source: Reserve Bank of India · RBI/2024-25/02 · issued 01 Apr 2024 · ~1 min read
Quick answerRBI consolidated all Lead Bank Scheme guidelines up to March 31, 2024 into a single Master Circular. It covers coordination forums, credit planning, banking penetration, and digital payments. Banks must align with updated procedures for SLBC/DCC meetings and data flow.
The rule, in the simplest words
How it plays out — a real example

Ramesh, a senior banker at a district bank in Jaipur, reads the Master Circular, updates his bank’s LBS procedures, posts the required data on the standardized SLBC website, and uses the new data flow to plan a loan for a small shop owner in a nearby village, feeling confident that he is following RBI’s latest guidance.

What changed

RBI issued a Master Circular consolidating all existing Lead Bank Scheme guidelines issued up to March 31, 2024. No new policy changes were introduced; this is a compilation of previous instructions into one document.

What it means for you

Banks now have a single reference for all LBS guidelines, simplifying compliance and training. The circular reinforces the role of lead banks in coordinating credit flow and financial inclusion. It emphasizes standardized SLBC websites and data flow mechanisms for better monitoring.

What you must do

Who it affects

SLBC/UTLBC convenor banks, Lead banks in districts, All scheduled commercial banks operating in rural and semi-urban areas, District Consultative Committees and Block Level Bankers' Committees

❓ Common questions

What is the Lead Bank Scheme?

Introduced in December 1969 based on the Gadgil Study Group and Nariman Committee recommendations, it assigns a lead bank to each district to coordinate credit institutions and government for rural development and priority sector lending.

Does this Master Circular introduce new rules?

No, it consolidates all existing guidelines on the Lead Bank Scheme issued up to March 31, 2024. Banks should refer to this circular for current instructions.

What are the key forums under the Lead Bank Scheme?

The key forums are Block Level Bankers' Committee, District Consultative Committee (DCC), District Level Review Committee (DLRC), and State Level Bankers' Committee (SLBC).

📜 Read the original circular — full text as issued by RBI
RBI/2024-25/02 FIDD.CO.LBS.BC.No.01/02.01.001/2024-25 April 01, 2024 The Chairman/ Managing Director/ Chief Executive Officer SLBC/ UTLBC Convenor Banks / Lead Banks Madam/ Dear Sir, Master Circular – Lead Bank Scheme The Reserve Bank of India has issued a number of guidelines/ instructions on Lead Bank Scheme from time to time. This Master Circular consolidates the relevant guidelines/ instructions issued by Reserve Bank of India on Lead Bank Scheme up to March 31, 2024 as listed in the Appendix I . 2. This Master Circular has been placed on the RBI website https://www.rbi.org.in Yours faithfully, (Nisha Nambiar) Chief General Manager-in-Charge Encl.: As above Structure 1
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2024-25/02 · issued 01 Apr 2024. The plain-English explanation above is BankPulse’s own independent summary.
🧰 Tools — save, print, templates & related
Who does what — compliance checklist
🏦 Branch Manager
  • Continue implementing roadmaps for banking services in unbanked villages and branches in villages over 5000 population.
📜 Compliance
  • Review the Master Circular and update internal LBS procedures accordingly.
  • Ensure SLBC/UTLBC convenor banks maintain standardized websites with required data.
  • Align credit planning and monitoring with the revised data flow mechanism for LBS meetings.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template

Example: if you are a Compliance officer at a bank this circular applies to (SLBC/UTLBC convenor banks, Lead banks in districts, All scheduled commercial banks operating in rural and semi-urban areas, District Consultative Committees and Block Level Bankers' Committees), your first concrete step on “Master Circular on Lead Bank Scheme 2024” is: “Review the Master Circular and update internal LBS procedures accordingly.” (RBI issued this 01 Apr 2024).

  1. Circular: RBI/2024-25/02 -- Master Circular on Lead Bank Scheme 2024
  2. Issued: 01 Apr 2024
  3. Action required: Review the Master Circular and update internal LBS procedures accordingly.
  4. Action required: Ensure SLBC/UTLBC convenor banks maintain standardized websites with required data.
  5. Action required: Align credit planning and monitoring with the revised data flow mechanism for LBS meetings.
  6. Action required: Continue implementing roadmaps for banking services in unbanked villages and branches in villages over 5000 population.
  7. Owner: ____________ Target date: ____________
  8. Board/committee approval needed? Y / N
  9. Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.

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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=12643&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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