Reserve Bank of India [Disbursement of Government Pension by Agency Banks (ABs)] First Amendment Directions, 2026

RBI/2026-27/154
CO.DGBA.GBD.No.S228/31.02.007/2026-27

June 24, 2026

Reserve Bank of India [Disbursement of Government Pension by Agency Banks (ABs)] First Amendment Directions, 2026

Please refer to Reserve Bank of India [Disbursement of Government Pension by Agency Banks (ABs)] Directions, 2026, dated April 30, 2026.

2. The Reserve Bank, in its role as banker to the Central Government and State Governments, hereby, issues the following the Amendment Directions, to the Agency Banks, hereinafter specified.

3. (i) These Directions shall be called the Reserve Bank of India [Disbursement of Government Pension by Agency Banks (ABs)] First Amendment Directions, 2026.

(ii) These Amendment Directions shall come into effect from the date of issue.

4. The Reserve Bank of India [Disbursement of Government Pension by Agency Banks (ABs)] Directions, 2026, are amended as provided below.

i. Chapter III and consequently para 8 and 9 shall be substituted by the following, namely

“Chapter III – Recovery and Refund of Excess Pension Payment

The banks may ensure that no recovery of excess amount from the pension of a Government employee shall be effected without the pensioner’s knowledge and consent, or without the issuance of a prior notice. Further, any such recovery must strictly conform to the applicable service rules and the principles discussed hereinabove.

The banks may take a Letter of Undertaking from the pensioner to the effect that in case any excess pension is credited to the account of the pensioner, the pensioner is bound to refund the same to the bank upon receipt of a suitable notice from the bank.

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