Comments invited

August 2026

• 7Aug

  FEMA & RBIRBI draft CVA framework: banks to compute Credit Valuation Adjustment capital charge under Basel III basic approach from 1 April 2027, with a simpler option for smaller derivative books

  CVA capital charge: draftComments invited

  RBI released draft Directions on 7 August 2026 to replace its 2011 Credit Valuation Adjustment (CVA) framework with the basic approach (BA-CVA) of the final Basel III framework. Banks could choose the full or reduced version; a bank with non-centrally cleared derivatives of up to ₹10 lakh crore notional could instead set its CVA charge at 100% of its counterparty credit risk charge. Proposed date of effect is 1 April 2027; comments closed on 28 August 2026.

• 7Aug

  FEMA & RBIRBI draft proposes to rewrite banks’ leverage ratio chapter on the Basel 2017 standard from 1 April 2027; text puts the minimum at 4% for D-SIBs and 3.5% for other banks

  Leverage ratio: draft rewriteComments invited

  RBI released a draft on 7 August 2026 to amend Chapter VII (Leverage Ratio framework) of its capital adequacy Directions for commercial banks, to align with the Basel Committee’s ‘Leverage Ratio 2017 Standard’. The draft sets out how the exposure measure is to be built from on-balance sheet, derivative, SFT and off-balance sheet exposures, and proposes 1 April 2027 as the date of effect. Comments were invited till 28 August 2026; the window has closed.

• 6Aug

  FEMA & RBIRBI draft for State and Central Co-operative Banks: exposure capped at 20% of Tier-I capital per borrower and 25% per group, new housing loan ceilings proposed from 1 April 2027

  20% single, 25% group capComments invited

  RBI issued two draft Directions on 6 August 2026 for Rural Co-operative Banks (State and Central Co-operative Banks). They propose exposure limits of 20% of Tier-I capital for a single counterparty and 25% for a group, a 15% cap each on real estate exposure and unsecured advances, and housing loan ceilings of ₹60 lakh to ₹3 crore by deposit size — all from 1 April 2027. Comments were due by 28 August 2026; the window has closed.

• 6Aug

  FEMA & RBIRBI draft proposes NBFCs offer only term loans, no revolving credit — credit-card NBFCs excepted; comment window closed on 28 August 2026

  Draft: no revolving creditComments invited

  RBI released draft amendment directions on 6 August 2026 proposing that an NBFC offer only credit products in the nature of term loans and no revolving credit products, except an NBFC authorised by RBI to issue credit cards. The draft defines “term loan” and “revolving credit” and proposes to delete the demand/call loan provisions. Comments were invited by 28 August 2026; that window has closed.

• 5Aug

  FEMA & RBIRBI proposes to resume licensing of Urban Co-operative Banks ‘on tap’: draft asks for ₹10,000 crore deposits and ₹300 crore net worth from credit societies

  UCB licences: draft rulesComments invited

  RBI published draft guidelines on 5 August 2026 for licensing Urban Co-operative Banks on an ‘on tap’ basis. As proposed, only credit co-operative societies that are at least 10 years old, registered under the Multi-State Co-operative Societies Act, 2002, with deposits of at least ₹10,000 crore and net worth of at least ₹300 crore could apply. Comments were invited till 5 September 2026; that window has closed.