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RBI Directives for Rural Co-operative Banks

Co-operative Banks
Quick answerRBI issues directives for rural co-operative banks to display their full name and for StCBs to adhere to certain norms for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934.

What changed

RBI has issued the Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) (Amendment) Directions, 2025, which modifies the Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) Directions, 2025. The amendments include displaying the full name of the bank for all rural co-operative banks and adhering to certain norms for StCBs for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934.

What it means for you

These directives aim to ensure that rural co-operative banks display their full name and that StCBs adhere to certain norms for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934. This will help in maintaining transparency and accountability in the banking sector.

What you must do

Who it affects

Rural Co-operative Banks (for display requirements), State Co-operative Banks (StCBs) (for Second Schedule norms), Regional Offices of the Reserve Bank of India, NABARD

What is the purpose of the Reserve Bank of India (Rural Co-operative Banks – Miscellaneous) (Amendment) Directions, 2025?

The purpose of the amendment is to ensure that rural co-operative banks display their full name and that StCBs adhere to certain norms for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934.

What are the norms for inclusion in the Second Schedule to the Reserve Bank of India Act, 1934?

The norms include a CRAR of at least 3 per cent more than the minimum CRAR requirement applicable to the bank and no major regulatory and supervisory concerns. These norms apply to StCBs.

Key dataSee the live numbers behind this topic: RBI Penalty Tracker, NPA / Asset-Quality Tracker — updated from official RBI data.
Key termsPlain-English definitions of terms in this circular — see the full Indian banking glossary. KYC / AML · Gross NPA (GNPA) · Deposit insurance (DICGC) · Scheduled Commercial Bank (SCB)
Official source: RBI/DOR/2025-26/123 on rbi.org.in ↗
AI-drafted · 3-model AI consensus fact-check · under the editorial review of Vikram Jain · published · 19 Jun 2026, 02:10 IST