{"what_this_is":"The machine-readable twin of the BankPulse page for one RBI rulebook. Same points, same dates, same paragraph references as the page a person reads. RBI's own wording is not reproduced here: each point names the RBI paragraph, the character offset into the text BankPulse read and the sha256 of that text, so the claim can be checked against RBI's own document.","schema_version":1,"release_id":"d653cdb0a5","generated_at":"2026-09-15T00:33:59.117975+00:00","id":"md12995","title":"Reserve Bank of India (Rural Co-operative Banks – Classification, Valuation and Operation of Investment Portfolio) Directions, 2025 (Updated as on May 18, 2026)","document_kind":"Directions","page":"https://bankpulse.ai/rule/md12995","status":"In force","importance":{"code":"MR","label":"MUST READ","weight":"Must read","why":"Binding RBI Directions naming this institution class in the title","layer":"bankpulse_inference"},"applies_to":{"shown":"Rural co-operative banks","class_code":"RURAL_COOP","from":"the document's own title","layer":"bankpulse_inference"},"dates":{"prid":"md12995","mode":"four_dates_v1","published":{"label":"Published","value":"Nov 28, 2025","stated":true,"why":"The day RBI put this document out."},"effective":{"label":"Starts to apply","value":"","stated":false,"why":"Not stated separately in this document. Read the rule itself before you assume a start date."},"transition":{"label":"Time to get ready","value":"","stated":false,"why":"Cannot be worked out until the day it starts to apply is known."},"deadline":{"label":"Last date to act","value":"","stated":false,"why":"No date to act by was found in this document. Other dates may sit inside single paragraphs."},"sources":{"published":"doc_date in data/highlights/md12995.json","effective":"none held","transition":"none held","deadline":"none held"}},"rbi_source":{"url":"https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12995","document_date":"Nov 28, 2025","read_by_bankpulse":"2026-08-21 16:19:43 UTC","text_sha256":"7f87315e4ec02a5fb171bf3d490fae68a349680c850d15e810f08e519d0ca615","word_count":8094,"standing_last_checked":"Standing checked on RBI’s Master Directions index, 15 September 2026, 5:58 am IST."},"counts":{"points_shown":61,"points_naming_an_rbi_paragraph":61,"points_stored":61,"actions":0,"amendments":1},"points":[{"n":1,"claim":"md12995-b326a20c","page_group":"Chapter I. Preliminary","stored_section":"KEY DATES","heading":"Starts at once","plain_english":"The rules start from the date RBI issues them.","rbi_paragraph":"Para 2","rbi_char_offset":4495,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p1","layer":"bankpulse"},{"n":2,"claim":"md12995-11d66cf0","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Who must follow this","plain_english":"These rules apply to every rural co-operative bank in India.","rbi_paragraph":"Para 3","rbi_char_offset":4579,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p2","layer":"bankpulse"},{"n":3,"claim":"md12995-d0529741","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Which banks those are","plain_english":"State co-operative banks and central co-operative banks under the NABARD law.","rbi_paragraph":"Para 3","rbi_char_offset":4769,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":["agriculture-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p3","layer":"bankpulse"},{"n":1,"claim":"md12995-8195e810","page_group":"Chapter III. General Guidelines","stored_section":"IMPACT","heading":"No portfolio work for clients","plain_english":"The bank may not deal on behalf of portfolio management clients.","rbi_paragraph":"Para 15","rbi_char_offset":9246,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p4","layer":"bankpulse"},{"n":2,"claim":"md12995-e7b5e1c2","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Judge it like a loan","plain_english":"An investment proposal gets the same credit study as a loan proposal.","rbi_paragraph":"Para 16","rbi_char_offset":9350,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p5","layer":"bankpulse"},{"n":3,"claim":"md12995-965ab037","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Do not lean on ratings","plain_english":"The bank must form its own view and not rely on the rating agency alone.","rbi_paragraph":"Para 16","rbi_char_offset":9529,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p6","layer":"bankpulse"},{"n":4,"claim":"md12995-cff23f87","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Hold it only in demat","plain_english":"Every security must be held in dematerialised form.","rbi_paragraph":"Para 19","rbi_char_offset":10128,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p7","layer":"bankpulse"},{"n":5,"claim":"md12995-1557cc76","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"The board writes the policy","plain_english":"The board must approve a full written investment policy.","rbi_paragraph":"Para 14(1)","rbi_char_offset":7994,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p8","layer":"bankpulse"},{"n":6,"claim":"md12995-ccc9ca10","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Say who may deal","plain_english":"That policy names the authority allowed to put through deals.","rbi_paragraph":"Para 14(2)","rbi_char_offset":8397,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p9","layer":"bankpulse"},{"n":7,"claim":"md12995-0a6d2a40","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Limits by industry and maturity","plain_english":"Entry rating floors and limits by industry, maturity and issuer are required.","rbi_paragraph":"Para 14(2)","rbi_char_offset":9023,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p10","layer":"bankpulse"},{"n":8,"claim":"md12995-4653f68b","page_group":"Chapter III. General Guidelines","stored_section":"WHO SHOULD ACT","heading":"Track the issuer every quarter","plain_english":"The issuer's position is tracked quarterly or half-yearly for rating slippage.","rbi_paragraph":"Para 17","rbi_char_offset":9713,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p11","layer":"bankpulse"},{"n":1,"claim":"md12995-4b66d29b","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Two groups only","plain_english":"The whole portfolio is split into just two groups: Current and Permanent.","rbi_paragraph":"Para 20","rbi_char_offset":10284,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p12","layer":"bankpulse"},{"n":2,"claim":"md12995-0bdb4a84","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Permanent means held to maturity","plain_english":"Paper bought meaning to hold it to maturity goes into Permanent.","rbi_paragraph":"Para 22","rbi_char_offset":10617,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p13","layer":"bankpulse"},{"n":3,"claim":"md12995-50409c1b","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Half the book at most","plain_english":"Permanent investments may not exceed 50 per cent of total investments.","rbi_paragraph":"Para 23","rbi_char_offset":10736,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p14","layer":"bankpulse"},{"n":4,"claim":"md12995-bde90b55","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Government paper is outside it","plain_english":"That 50 per cent cap does not apply to government securities.","rbi_paragraph":"Para 23","rbi_char_offset":10846,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p15","layer":"bankpulse"},{"n":5,"claim":"md12995-8fc01c99","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Current means meant for sale","plain_english":"Paper bought to resell in the short term goes into Current.","rbi_paragraph":"Para 26","rbi_char_offset":11529,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p16","layer":"bankpulse"},{"n":6,"claim":"md12995-e01ebd5a","page_group":"Chapter IV. Classification of Investments","stored_section":"KEY DATES","heading":"Shift only once a year","plain_english":"Moving investments in or out of the Permanent group happens once a year.","rbi_paragraph":"Para 28","rbi_char_offset":11892,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p17","layer":"bankpulse"},{"n":7,"claim":"md12995-098353b1","page_group":"Chapter IV. Classification of Investments","stored_section":"KEY DATES","heading":"Only at the year's start","plain_english":"That shift must be done at the beginning of the accounting year.","rbi_paragraph":"Para 28","rbi_char_offset":12029,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p18","layer":"bankpulse"},{"n":8,"claim":"md12995-01e41022","page_group":"Chapter IV. Classification of Investments","stored_section":"THE CORE IDEA","heading":"Decide when you buy","plain_english":"The group is decided at purchase and written on the investment proposal.","rbi_paragraph":"Para 21","rbi_char_offset":10447,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p19","layer":"bankpulse"},{"n":9,"claim":"md12995-bf3a47e9","page_group":"Chapter IV. Classification of Investments","stored_section":"WHAT CHANGES","heading":"Profit goes to a reserve","plain_english":"Profit on selling Permanent paper is moved on to the Capital Reserve Account.","rbi_paragraph":"Para 25","rbi_char_offset":11154,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p20","layer":"bankpulse"},{"n":10,"claim":"md12995-20c35cd1","page_group":"Chapter IV. Classification of Investments","stored_section":"WHAT CHANGES","heading":"Take the loss before moving","plain_english":"Moving paper into Permanent below its book value means booking the loss first.","rbi_paragraph":"Para 29","rbi_char_offset":12361,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p21","layer":"bankpulse"},{"n":1,"claim":"md12995-6d7e4ba6","page_group":"Chapter V. Valuation of Investments","stored_section":"THE CORE IDEA","heading":"Permanent is valued at cost","plain_english":"Permanent holdings are not marked to market. They stand at cost.","rbi_paragraph":"Para 30","rbi_char_offset":12542,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p22","layer":"bankpulse"},{"n":2,"claim":"md12995-cb02d198","page_group":"Chapter V. Valuation of Investments","stored_section":"WHAT CHANGES","heading":"Book the loss, not gain","plain_english":"Fall in value is provided for scrip by scrip. Rise in value is ignored.","rbi_paragraph":"Para 34","rbi_char_offset":13383,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p23","layer":"bankpulse"},{"n":3,"claim":"md12995-3b30c059","page_group":"Chapter V. Valuation of Investments","stored_section":"WHAT CHANGES","heading":"No netting across groups","plain_english":"A fall in one class cannot be reduced by a rise in another class.","rbi_paragraph":"Para 34","rbi_char_offset":13528,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p24","layer":"bankpulse"},{"n":4,"claim":"md12995-2101e3c1","page_group":"Chapter V. Valuation of Investments","stored_section":"THE CORE IDEA","heading":"Current is marked monthly","plain_english":"Each Current holding is marked to market monthly or more often.","rbi_paragraph":"Para 32","rbi_char_offset":13170,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p25","layer":"bankpulse"},{"n":1,"claim":"md12995-d3a828cd","page_group":"Chapter VI. Market Value","stored_section":"WHAT IT REPLACES","heading":"One rupee when unknown","plain_english":"Where a society's financial position is unknown, the shares stand at 1 per institution.","rbi_paragraph":"Para 40","rbi_char_offset":17411,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p26","layer":"bankpulse"},{"n":2,"claim":"md12995-6e35900e","page_group":"Chapter VI. Market Value","stored_section":"WHAT IT REPLACES","heading":"Dead society shares written off","plain_english":"If a society is in liquidation or pays no dividend, full provision is made.","rbi_paragraph":"Para 40","rbi_char_offset":17176,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p27","layer":"bankpulse"},{"n":1,"claim":"md12995-137b67e4","page_group":"Chapter VII. Investments in Government Securities","stored_section":"WHO SHOULD ACT","heading":"One gilt account only","plain_english":"The bank may not keep more than one gilt account.","rbi_paragraph":"Para 50","rbi_char_offset":21359,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p28","layer":"bankpulse"},{"n":2,"claim":"md12995-5392bb2a","page_group":"Chapter VII. Investments in Government Securities","stored_section":"IMPACT","heading":"No short selling","plain_english":"The bank may not sell what it does not hold.","rbi_paragraph":"Para 59","rbi_char_offset":23993,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p29","layer":"bankpulse"},{"n":3,"claim":"md12995-d67a893c","page_group":"Chapter VII. Investments in Government Securities","stored_section":"WHO IT APPLIES TO","heading":"Only the apex may retail","plain_english":"Only a scheduled state co-operative bank may sell government paper to non-banks.","rbi_paragraph":"Para 60","rbi_char_offset":24149,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p30","layer":"bankpulse"},{"n":1,"claim":"md12995-8d1e9b3b","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Only A rated corporate bonds","plain_english":"Corporate bonds must be rated A or better.","rbi_paragraph":"Para 69(1)","rbi_char_offset":27455,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p31","layer":"bankpulse"},{"n":2,"claim":"md12995-e6fee77a","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"A2 for short paper","plain_english":"Commercial paper and certificates of deposit must be rated A2 or better.","rbi_paragraph":"Para 69(2)","rbi_char_offset":27843,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p32","layer":"bankpulse"},{"n":3,"claim":"md12995-65425065","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Five per cent, NABARD entity","plain_english":"Investment in NABARD's shared service entity is capped at five per cent of owned funds.","rbi_paragraph":"Para 69(5)","rbi_char_offset":29032,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p33","layer":"bankpulse"},{"n":4,"claim":"md12995-18d435c0","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"IMPACT","heading":"No perpetual debt","plain_english":"Perpetual debt instruments are not allowed at all.","rbi_paragraph":"Para 70(1)","rbi_char_offset":29859,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p34","layer":"bankpulse"},{"n":5,"claim":"md12995-a971d2eb","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Non-SLR capped at ten","plain_english":"Non-SLR investments are capped at 10 per cent of last March's total deposits.","rbi_paragraph":"Para 71","rbi_char_offset":30212,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p35","layer":"bankpulse"},{"n":6,"claim":"md12995-a642e590","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Unlisted capped at ten too","plain_english":"Unlisted non-SLR paper may not exceed 10 per cent of total non-SLR holdings.","rbi_paragraph":"Para 72","rbi_char_offset":30349,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p36","layer":"bankpulse"},{"n":7,"claim":"md12995-33a097e1","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Two per cent, society shares","plain_english":"All shares of co-operative institutions together: 2 per cent of owned funds.","rbi_paragraph":"Para 73(1)","rbi_char_offset":31435,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p37","layer":"bankpulse"},{"n":8,"claim":"md12995-47661d07","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Five per cent, one institution","plain_english":"And not more than 5 per cent of any one institution's subscribed capital.","rbi_paragraph":"Para 73(2)","rbi_char_offset":31599,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p38","layer":"bankpulse"},{"n":9,"claim":"md12995-2a71b020","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"All banks counted together","plain_english":"That 5 per cent counts every co-operative bank together, not each one alone.","rbi_paragraph":"Para 73(1)","rbi_char_offset":32033,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p39","layer":"bankpulse"},{"n":10,"claim":"md12995-55761616","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"WHO SHOULD ACT","heading":"Retire it in ten years","plain_english":"Share capital put into a society is retired in 10 equal yearly instalments.","rbi_paragraph":"Para 73(4)","rbi_char_offset":32346,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p40","layer":"bankpulse"},{"n":11,"claim":"md12995-ad68ebad","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"IMPACT","heading":"No lending to a State","plain_english":"The bank may not place deposits with or lend to a State Government.","rbi_paragraph":"Para 85","rbi_char_offset":35999,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p41","layer":"bankpulse"},{"n":12,"claim":"md12995-573d8040","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"IMPACT","heading":"No parking, urban bank","plain_english":"Surplus funds may not be placed as deposits with an urban co-operative bank.","rbi_paragraph":"Para 86","rbi_char_offset":36204,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p42","layer":"bankpulse"},{"n":13,"claim":"md12995-d545c056","page_group":"Chapter VII. Investments in non-SLR Securities","stored_section":"KEY DATES","heading":"Fifteen minutes to report","plain_english":"An over the counter corporate bond trade is reported within fifteen minutes.","rbi_paragraph":"Para 79","rbi_char_offset":34299,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p43","layer":"bankpulse"},{"n":1,"claim":"md12995-8584c36b","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"The broker only introduces","plain_english":"A broker's role is only to bring the two sides together.","rbi_paragraph":"Para 96","rbi_char_offset":38847,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p44","layer":"bankpulse"},{"n":2,"claim":"md12995-885c6d14","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"No power of attorney","plain_english":"No broker may be given authority to deal on the bank's behalf.","rbi_paragraph":"Para 96","rbi_char_offset":38948,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p45","layer":"bankpulse"},{"n":3,"claim":"md12995-64228c6e","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"Brokers do not settle","plain_english":"Settlement happens directly between the two sides, never through the broker.","rbi_paragraph":"Para 97","rbi_char_offset":39372,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p46","layer":"bankpulse"},{"n":4,"claim":"md12995-0d2fc4c8","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"One broker, five per cent","plain_english":"No single broker may carry more than 5 per cent of the year's brokered deals.","rbi_paragraph":"Para 103","rbi_char_offset":40491,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"A bank put 400 crore of deals through brokers last year. Five per cent of 400 crore is 20 crore, so that is what any one broker may carry. Deals done straight with the other side, with no broker in the middle, are left out of the 400 crore before the sum is done.","anchor":"https://bankpulse.ai/rule/md12995#p47","layer":"bankpulse"},{"n":5,"claim":"md12995-332e7511","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"Primary dealers are outside it","plain_english":"That 5 per cent limit does not apply to a Primary Dealer.","rbi_paragraph":"Para 103(6)","rbi_char_offset":41653,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p48","layer":"bankpulse"},{"n":6,"claim":"md12995-907b4105","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"Split the desk four ways","plain_english":"Trading, settlement, monitoring and accounting must be separate functions.","rbi_paragraph":"Para 88","rbi_char_offset":36588,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p49","layer":"bankpulse"},{"n":7,"claim":"md12995-5c3dbb9b","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"A slip for every deal","plain_english":"Every transaction needs a serially numbered deal slip with the full details.","rbi_paragraph":"Para 90","rbi_char_offset":36893,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p50","layer":"bankpulse"},{"n":8,"claim":"md12995-c17bba7a","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"A board approved broker panel","plain_english":"The board approves a panel of brokers and reviews it every year.","rbi_paragraph":"Para 101","rbi_char_offset":40033,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p51","layer":"bankpulse"},{"n":9,"claim":"md12995-b228f7c3","page_group":"Chapter VIII. Prudential Systems / Controls","stored_section":"WHO SHOULD ACT","heading":"Write down any breach","plain_english":"If the broker limit must be crossed, the reason is written and the board told after.","rbi_paragraph":"Para 103(4)","rbi_char_offset":41379,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p52","layer":"bankpulse"},{"n":1,"claim":"md12995-531b3092","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"KEY DATES","heading":"Audit to the chief monthly","plain_english":"Treasury audit results go to the chief executive once every month.","rbi_paragraph":"Para 104","rbi_char_offset":41788,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p53","layer":"bankpulse"},{"n":2,"claim":"md12995-ecd5a5a0","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"WHO SHOULD ACT","heading":"The auditor certifies the holding","plain_english":"The concurrent auditor certifies each quarter that the bank really holds them.","rbi_paragraph":"Para 106(1)","rbi_char_offset":42246,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p54","layer":"bankpulse"},{"n":3,"claim":"md12995-7cba3ea6","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"KEY DATES","heading":"Thirty days after the quarter","plain_english":"The auditor's holding certificate reaches NABARD within 30 days of quarter end.","rbi_paragraph":"Para 106(1)","rbi_char_offset":42660,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p55","layer":"bankpulse"},{"n":4,"claim":"md12995-82a65350","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"KEY DATES","heading":"Two reviews a year","plain_english":"The portfolio is reviewed as on March 31 and September 30 each year.","rbi_paragraph":"Para 109","rbi_char_offset":43340,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p56","layer":"bankpulse"},{"n":5,"claim":"md12995-af5b8aa6","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"KEY DATES","heading":"Board reviews within two months","plain_english":"That review reaches the board by end-May and end-November.","rbi_paragraph":"Para 109","rbi_char_offset":43452,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p57","layer":"bankpulse"},{"n":6,"claim":"md12995-d689fbbb","page_group":"Chapter IX. Audit, Review and Reporting","stored_section":"KEY DATES","heading":"June and December for NABARD","plain_english":"The return goes to NABARD by June 15 and December 15.","rbi_paragraph":"Para 110","rbi_char_offset":44079,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p58","layer":"bankpulse"},{"n":1,"claim":"md12995-6e57788d","page_group":"Chapter X. Accounting and Provisioning","stored_section":"WHAT CHANGES","heading":"Reserve of five per cent","plain_english":"The bank keeps a fluctuation reserve of not less than 5 per cent of Current holdings.","rbi_paragraph":"Para 115(1)","rbi_char_offset":45886,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p59","layer":"bankpulse"},{"n":2,"claim":"md12995-383711d5","page_group":"Chapter X. Accounting and Provisioning","stored_section":"WHAT CHANGES","heading":"Ten if the board agrees","plain_english":"The board may take that reserve up to 10 per cent.","rbi_paragraph":"Para 115(2)","rbi_char_offset":46191,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p60","layer":"bankpulse"},{"n":3,"claim":"md12995-a9744609","page_group":"Chapter X. Accounting and Provisioning","stored_section":"WHAT CHANGES","heading":"Built from real gains only","plain_english":"That reserve is built from realised gains and only out of net profit.","rbi_paragraph":"Para 115(3)","rbi_char_offset":46368,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12995#p61","layer":"bankpulse"}],"actions":[],"amendments":[{"id":"nt13455","title":"Reserve Bank of India (Rural Co-operative Banks – Classification, Valuation, and Operation of Investment Portfolio) Amendment Directions, 2026","date":"May 18, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13455&Mode=0","order":1,"layer":"rbi_source"}],"layers":{"rbi_source":"Facts taken from RBI's own document.","bankpulse":"BankPulse's plain-English summary of RBI's document.","bankpulse_inference":"BankPulse's own inference, not stated by RBI."},"rbi_wording_not_included":"By design. BankPulse never republishes RBI's exact sentences. Use rbi_paragraph with rbi_source.url to read RBI's own words.","terms":"BankPulse's plain-English summaries are BankPulse's own work. The underlying regulation is the Reserve Bank of India's. Always check the RBI document named in rbi_source before acting."}