Reserve Bank of India (Commercial Banks – Governance) Amendment Directions, 2026

RBI/2026-27/177
DOR.HGG.GOV.150/29.67.001/2026-27

July 14, 2026

Reserve Bank of India (Commercial Banks – Governance) Amendment Directions, 2026

The Reserve Bank of India has amended the RBI (Commercial Banks – Governance) Directions, 2025, to streamline the matters required to be placed before bank Boards. The changes aim to reduce routine agenda items and enable Boards to devote more time to business strategy, financial soundness, risk governance, compliance and other critical oversight responsibilities.

Under the revised framework, bank Boards must oversee risk management systems, policies and strategies; exposures to related entities, including subsidiaries; and compliance with corporate governance standards. The RBI has also specified separate categories for policies and other matters requiring Board approval, review or information, as well as matters that may be delegated to Board or Management Committees.

Boards may delegate the review of Board-approved policies to their committees, while material amendments must continue to receive Board approval. Each Board must clearly identify matters reserved for its approval, ensure timely and adequate information from management, and periodically review delegated responsibilities and meeting agenda practices. The Chairperson will have primary responsibility for setting the Board meeting agenda.

These provisions will apply to both Public Sector Banks and Private Sector Banks, with necessary modifications. The Amendment Directions will take effect from October 1, 2026. CA Sansaar

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