{"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":"md13120","title":"Reserve Bank of India (Small Finance Banks – Concentration Risk Management) Directions, 2025 (Updated as on July 01, 2026)","document_kind":"Directions","page":"https://bankpulse.ai/rule/md13120","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":"Small finance banks","class_code":"SFB","from":"the document's own title","layer":"bankpulse_inference"},"dates":{"prid":"md13120","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/md13120.json","effective":"none held","transition":"none held","deadline":"none held"}},"rbi_source":{"url":"https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=13120","document_date":"Nov 28, 2025","read_by_bankpulse":"2026-08-21 16:16:19 UTC","text_sha256":"037a73361052f3ea6213196ec08ce61164911f2908ee5ec440cb16f462a25183","word_count":8253,"standing_last_checked":"Standing checked on RBI’s Master Directions index, 15 September 2026, 5:58 am IST."},"counts":{"points_shown":49,"points_naming_an_rbi_paragraph":49,"points_stored":49,"actions":0,"amendments":2},"points":[{"n":1,"claim":"md13120-9db77ee8","page_group":"Chapter I. Preliminary","stored_section":"KEY DATES","heading":"Starts at once","plain_english":"The rules start the moment RBI issues them.","rbi_paragraph":"Para 2","rbi_char_offset":4064,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p1","layer":"bankpulse"},{"n":2,"claim":"md13120-fed0c14e","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Who must follow this","plain_english":"These rules apply to every small finance bank.","rbi_paragraph":"Para 3","rbi_char_offset":4151,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p2","layer":"bankpulse"},{"n":3,"claim":"md13120-158ff9cd","page_group":"Chapter I. Preliminary","stored_section":"KEY DATES","heading":"Capital counted from March","plain_english":"Capital funds come from the published accounts as on March 31 of the previous year.","rbi_paragraph":"Para 4(3)","rbi_char_offset":4684,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p3","layer":"bankpulse"},{"n":4,"claim":"md13120-94930e37","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Quarterly profit does not count","plain_english":"Profit earned during the year does not lift the ceiling.","rbi_paragraph":"Para 4(3)","rbi_char_offset":4962,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p4","layer":"bankpulse"},{"n":5,"claim":"md13120-1076bc48","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"No lending on future capital","plain_english":"A bank may not lend against capital it only hopes to raise later.","rbi_paragraph":"Para 4(3)","rbi_char_offset":5106,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p5","layer":"bankpulse"},{"n":6,"claim":"md13120-217a034d","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Sanctioned or outstanding, higher","plain_english":"The bank counts the higher of the sanctioned limit and the amount drawn.","rbi_paragraph":"Para 4(4)","rbi_char_offset":5738,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p6","layer":"bankpulse"},{"n":7,"claim":"md13120-a181f498","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Fully drawn term loans","plain_english":"For a fully drawn term loan the bank may count only the amount drawn.","rbi_paragraph":"Para 4(4)","rbi_char_offset":5862,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p7","layer":"bankpulse"},{"n":8,"claim":"md13120-1f599046","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"The bank decides the group","plain_english":"The bank itself decides who belongs to a group. The test is common management and real control.","rbi_paragraph":"Para 4(5)","rbi_char_offset":7962,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p8","layer":"bankpulse"},{"n":1,"claim":"md13120-7048ea7b","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Ten and fifteen per cent","plain_english":"One borrower may get up to 10 per cent of capital funds. One group may get up to 15 per cent.","rbi_paragraph":"Para 10","rbi_char_offset":14980,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"A small finance bank lends to one company and to other firms in the same group. The loan to that one company may not cross 10 per cent of the bank's capital funds. Everything lent to the whole group together may not cross 15 per cent. Both tests apply at the same time, so the group room can be full while the single name is not.","anchor":"https://bankpulse.ai/rule/md13120#p9","layer":"bankpulse"},{"n":2,"claim":"md13120-9e81401f","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"The limit is per borrower","plain_english":"The ₹25 lakh test is applied borrower by borrower.","rbi_paragraph":"Para 11","rbi_char_offset":15542,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p10","layer":"bankpulse"},{"n":3,"claim":"md13120-e5e53705","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Clearing house is exempt","plain_english":"Clearing work with a recognised clearing house sits outside the 10 per cent cap.","rbi_paragraph":"Para 12","rbi_char_offset":15804,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p11","layer":"bankpulse"},{"n":4,"claim":"md13120-429b243e","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Other clearing houses are not","plain_english":"A clearing house that is not recognised stays inside the 10 per cent cap.","rbi_paragraph":"Para 13","rbi_char_offset":16396,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p12","layer":"bankpulse"},{"n":5,"claim":"md13120-be110bcf","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"NBFC lending has a cap","plain_english":"The bank may lend one NBFC up to 10 per cent of capital funds. For an NBFC group the cap is 15 per cent.","rbi_paragraph":"Para 14","rbi_char_offset":16619,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p13","layer":"bankpulse"},{"n":6,"claim":"md13120-4c46ca0a","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Gold loan NBFC lower","plain_english":"The bank may lend only 7.5 per cent of capital funds to a mainly gold lending NBFC.","rbi_paragraph":"Para 15","rbi_char_offset":17119,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":["gold-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p14","layer":"bankpulse"},{"n":7,"claim":"md13120-a5d61b88","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Consortium loans are covered","plain_english":"The same limits apply when several banks lend together.","rbi_paragraph":"Para 16","rbi_char_offset":17224,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p15","layer":"bankpulse"},{"n":8,"claim":"md13120-585569fc","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Who owns the bill risk","plain_english":"A bill discounted under another bank's letter of credit counts against that bank.","rbi_paragraph":"Para 17","rbi_char_offset":17629,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":["trade-finance","working-capital"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p16","layer":"bankpulse"},{"n":9,"claim":"md13120-ba681477","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Food credit is exempt","plain_english":"Borrowers given food credit limits by RBI itself are outside the ceiling.","rbi_paragraph":"Para 18","rbi_char_offset":18147,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p17","layer":"bankpulse"},{"n":10,"claim":"md13120-8c3b65d6","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Government guarantee is exempt","plain_english":"A loan fully guaranteed by the Government of India is outside the ceiling.","rbi_paragraph":"Para 19","rbi_char_offset":18313,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p18","layer":"bankpulse"},{"n":11,"claim":"md13120-5a534bb7","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Loans on own deposits","plain_english":"A loan against the bank's own term deposit is left out where a lien exists.","rbi_paragraph":"Para 20","rbi_char_offset":18562,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":["deposit-account"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p19","layer":"bankpulse"},{"n":12,"claim":"md13120-99a5954d","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"NABARD is exempt","plain_english":"Money lent to NABARD is outside the single and group ceiling.","rbi_paragraph":"Para 21","rbi_char_offset":18766,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p20","layer":"bankpulse"},{"n":13,"claim":"md13120-b09dffc6","page_group":"Chapter IV. Exposure Norms","stored_section":"WHO SHOULD ACT","heading":"Top up loans unsecured","plain_english":"A top up loan against a vehicle is treated as unsecured.","rbi_paragraph":"Para 24","rbi_char_offset":20211,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p21","layer":"bankpulse"},{"n":14,"claim":"md13120-5b2eb2ae","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Overseas arms capped","plain_english":"Credit to Indian joint ventures and subsidiaries abroad stops at 20 per cent of capital funds.","rbi_paragraph":"Para 41","rbi_char_offset":30687,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p22","layer":"bankpulse"},{"n":15,"claim":"md13120-1bd6c15c","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"No safety net promise","plain_english":"A bank may not promise to buy shares back at a price fixed in advance.","rbi_paragraph":"Para 45","rbi_char_offset":31479,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p23","layer":"bankpulse"},{"n":16,"claim":"md13120-636fd717","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Buy back stays small","plain_english":"Any buy back offer to small investors stays within 25 per cent of owned funds.","rbi_paragraph":"Para 46","rbi_char_offset":32197,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p24","layer":"bankpulse"},{"n":17,"claim":"md13120-9c22d158","page_group":"Chapter IV. Exposure Norms","stored_section":"WHAT CHANGES","heading":"Half the book stays small","plain_english":"At least 50 per cent of the loan book must be loans of ₹25 lakh or less.","rbi_paragraph":"Para 11","rbi_char_offset":15184,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p25","layer":"bankpulse"},{"n":18,"claim":"md13120-3a6aeacb","page_group":"Chapter IV. Exposure Norms","stored_section":"WHO SHOULD ACT","heading":"Board fixes sector limits","plain_english":"The board must set its own limits for each sector, such as textiles or tea.","rbi_paragraph":"Para 22","rbi_char_offset":19450,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p26","layer":"bankpulse"},{"n":19,"claim":"md13120-37d3235d","page_group":"Chapter IV. Exposure Norms","stored_section":"WHO SHOULD ACT","heading":"Unsecured consumer credit needs limits","plain_english":"The board must set a limit for every unsecured consumer loan.","rbi_paragraph":"Para 23","rbi_char_offset":20003,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p27","layer":"bankpulse"},{"n":20,"claim":"md13120-09617ec8","page_group":"Chapter IV. Exposure Norms","stored_section":"WHO SHOULD ACT","heading":"A sub-limit for gold NBFCs","plain_english":"The bank must set an inner limit for all gold loan NBFCs together.","rbi_paragraph":"Para 26","rbi_char_offset":20572,"weight":"DO IT","role":"Board","team":null,"products_covered":["gold-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p28","layer":"bankpulse"},{"n":21,"claim":"md13120-8f0fc8b2","page_group":"Chapter IV. Exposure Norms","stored_section":"WHO IT APPLIES TO","heading":"Borrower and obligor same","plain_english":"RBI uses the words borrower and obligor to mean the same thing.","rbi_paragraph":"Para 11","rbi_char_offset":15612,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p29","layer":"bankpulse"},{"n":1,"claim":"md13120-25ec9ec9","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"Group limits, single entity","plain_english":"One non-financial group company may get five per cent of paid-up capital and reserves.","rbi_paragraph":"Para 48(1)","rbi_char_offset":32930,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p30","layer":"bankpulse"},{"n":2,"claim":"md13120-2018ba61","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"Regulated group firms more","plain_english":"A regulated financial group company may get 10 per cent.","rbi_paragraph":"Para 48(1)","rbi_char_offset":33215,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p31","layer":"bankpulse"},{"n":3,"claim":"md13120-9c883cfa","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"Whole group stops at twenty","plain_english":"All group companies together may not cross 20 per cent of paid-up capital and reserves.","rbi_paragraph":"Para 48(2)","rbi_char_offset":33496,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p32","layer":"bankpulse"},{"n":4,"claim":"md13120-a9bc851b","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"Nothing to the holding company","plain_english":"A bank under a holding company may not lend to that holding company.","rbi_paragraph":"Para 50(1)","rbi_char_offset":35233,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p33","layer":"bankpulse"},{"n":5,"claim":"md13120-51ebd348","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"IMPACT","heading":"A breach stops fresh deals","plain_english":"If a group limit is crossed, the bank may take no further group exposure.","rbi_paragraph":"Para 60(4)","rbi_char_offset":42940,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p34","layer":"bankpulse"},{"n":6,"claim":"md13120-5ac11522","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"IMPACT","heading":"Capital is cut for breach","plain_english":"The excess is taken off Common Equity Tier 1 capital until the limit is met again.","rbi_paragraph":"Para 60(4)","rbi_char_offset":43318,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p35","layer":"bankpulse"},{"n":7,"claim":"md13120-e09341ba","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"IMPACT","heading":"Penalty for repeat breaches","plain_english":"Repeated breaches can bring an RBI penalty on the bank.","rbi_paragraph":"Para 60(4)","rbi_char_offset":43823,"weight":"MUST KNOW","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p36","layer":"bankpulse"},{"n":8,"claim":"md13120-b3ddbaff","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"One policy for group deals","plain_english":"The board must approve a full policy on dealings with group companies.","rbi_paragraph":"Para 51","rbi_char_offset":35648,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p37","layer":"bankpulse"},{"n":9,"claim":"md13120-5f7e5b70","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"Review the policy yearly","plain_english":"That policy must be looked at again at least once a year.","rbi_paragraph":"Para 52","rbi_char_offset":36168,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p38","layer":"bankpulse"},{"n":10,"claim":"md13120-d3d6c176","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"No cross default clause","plain_english":"The bank may not sign a clause that turns a group default into its own.","rbi_paragraph":"Para 54","rbi_char_offset":38563,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p39","layer":"bankpulse"},{"n":11,"claim":"md13120-3035a3cd","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"WHO SHOULD ACT","heading":"No trading bad assets inside","plain_english":"The bank may not buy or sell bad loans with its own group.","rbi_paragraph":"Para 55","rbi_char_offset":38766,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p40","layer":"bankpulse"},{"n":12,"claim":"md13120-37df7497","page_group":"Chapter V. Prudential Limits on Intra-Group Transactions and Exposure","stored_section":"IMPACT","heading":"Report big group deals","plain_english":"Group deals above ₹10 crore funded, or ₹25 crore non-funded, must be listed for RBI.","rbi_paragraph":"Para 60(1)","rbi_char_offset":42122,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p41","layer":"bankpulse"},{"n":1,"claim":"md13120-8a6c950a","page_group":"Chapter VI. Management of Country Risk Exposure","stored_section":"WHO SHOULD ACT","heading":"Country limit caps at capital","plain_english":"No single country may be given more than the bank's own regulatory capital. Only the lowest risk group is left out.","rbi_paragraph":"Para 63","rbi_char_offset":44580,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p42","layer":"bankpulse"},{"n":2,"claim":"md13120-bd78aaa8","page_group":"Chapter VI. Management of Country Risk Exposure","stored_section":"IMPACT","heading":"Indirect country risk counts","plain_english":"Country risk must be watched once net funded exposure reaches one per cent of total assets.","rbi_paragraph":"Para 67","rbi_char_offset":46328,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p43","layer":"bankpulse"},{"n":3,"claim":"md13120-0c5052b9","page_group":"Chapter VI. Management of Country Risk Exposure","stored_section":"WHAT CHANGES","heading":"Country risk counted net","plain_english":"Country exposure is counted after collateral, guarantees and insurance are taken off.","rbi_paragraph":"Para 68","rbi_char_offset":46807,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p44","layer":"bankpulse"},{"n":4,"claim":"md13120-ceece7bd","page_group":"Chapter VI. Management of Country Risk Exposure","stored_section":"WHO SHOULD ACT","heading":"Country limits reviewed yearly","plain_english":"The board must look at country limits again at least once a year.","rbi_paragraph":"Para 62","rbi_char_offset":44460,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p45","layer":"bankpulse"},{"n":1,"claim":"md13120-b2c95f8d","page_group":"Chapter VIII. Repeal and other provisions","stored_section":"WHAT IT REPLACES","heading":"The old rules are gone","plain_english":"All earlier concentration risk instructions for small finance banks stand repealed.","rbi_paragraph":"Para 70","rbi_char_offset":47466,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p46","layer":"bankpulse"},{"n":2,"claim":"md13120-1079c38d","page_group":"Chapter VIII. Repeal and other provisions","stored_section":"WHAT IT REPLACES","heading":"Old actions still stand","plain_english":"Anything already done under the old rules is still judged by them.","rbi_paragraph":"Para 71","rbi_char_offset":47865,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p47","layer":"bankpulse"},{"n":3,"claim":"md13120-a1664389","page_group":"Chapter VIII. Repeal and other provisions","stored_section":"WHAT IT REPLACES","heading":"Other laws still apply","plain_english":"These rules sit on top of other laws. They do not take the place of them.","rbi_paragraph":"Para 72","rbi_char_offset":48905,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p48","layer":"bankpulse"},{"n":4,"claim":"md13120-1f001e30","page_group":"Chapter VIII. Repeal and other provisions","stored_section":"IMPACT","heading":"RBI's reading is final","plain_english":"Where the wording is unclear, RBI's own reading of it is final.","rbi_paragraph":"Para 73","rbi_char_offset":49411,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13120#p49","layer":"bankpulse"}],"actions":[],"amendments":[{"id":"nt13197","title":"Reserve Bank of India (Small Finance Banks - Concentration Risk Management) Amendment Directions, 2025","date":"Dec 04, 2025","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13197&Mode=0","order":1,"layer":"rbi_source"},{"id":"nt13352","title":"Reserve Bank of India (Small Finance Banks - Concentration Risk Management) Amendment Directions, 2026 (Revised)","date":"Mar 30, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13352&Mode=0","order":2,"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."}