What changed
RBI consolidated and updated the CRR and SLR framework for Payments Banks into a single Directions document, replacing earlier versions. The directions specify the apportionment procedure for savings bank deposits into demand and time liabilities based on half-yearly averages. They also clarify that only unencumbered approved securities qualify for SLR, with exceptions for securities lodged for advances.
What it means for you
Payments Banks must now strictly adhere to the new unified CRR and SLR directions, which standardize reporting and compliance. The apportionment rule impacts liquidity management, as the time liability portion of savings deposits is calculated using minimum balances. Banks need to ensure their SLR portfolios are unencumbered, except where explicitly allowed, to avoid penalties.
What you must do
- Review and update internal CRR and SLR computation processes to align with the new apportionment method for savings bank deposits.
- Ensure SLR securities are classified correctly as unencumbered, except for securities lodged for advances as per the exemption.
- Train reporting teams on the revised Form A and Form VIII submission requirements under the 2025 Directions.
- Monitor half-yearly apportionment dates (March 31 and September 30) to accurately calculate demand and time liability proportions.
Who it affects
Payments Banks, Treasury and compliance teams at Payments Banks, RBI reporting and supervision departments
What is the new apportionment rule for savings bank deposits?
Banks must calculate the time liability portion as the average of minimum balances in each savings account over each month of the half-year. The demand liability is the difference between the average actual balance and that time liability. These proportions apply for the next half-year's reporting fortnights.
Which securities qualify as SLR assets under these directions?
Approved securities include dated Government of India securities, Treasury Bills, State Development Loans, and any other instruments notified by RBI. Only the unencumbered portion counts for SLR, except securities lodged for an advance, which are not considered encumbered.
When do these directions take effect?
The directions came into force with immediate effect from November 28, 2025, and were updated as of January 22, 2026.