Reserve Bank of India (Local Area Banks - Responsible Business Conduct) Second Amendment Directions, 2026

RBI/2026-27/118
DOR.MCS.REC.No.97/01-01-035/2026-27

June 15, 2026

Reserve Bank of India (Local Area Banks - Responsible Business Conduct) Second Amendment Directions, 2026

It has been decided to issue comprehensive instructions on advertising, marketing and sales of financial products / services to all Local Area Banks (hereinafter referred to collectively as “LABs” and individually as an “LAB”) under the Reserve Bank of India (Local Area Banks - Responsible Business Conduct) Directions, 2025.

2. In exercise of the powers conferred by Section 35A of the Banking Regulation Act,1949, the Reserve Bank, being satisfied that it is necessary and expedient in public interest so to do, hereby issues the Amendment Directions hereinafter specified.

3. Short Title and Commencement

(1) These Directions shall be called the Reserve Bank of India (Local Area Banks - Responsible Business Conduct) Second Amendment Directions, 2026.

(2) These Directions shall come into effect from January 1, 2027.