The Reserve Bank of India has updated its instructions on payment of agency commission under the Master Circular on Conduct of Government Business by Agency Banks, revising the commission rates payable by RBI and widening when commission can be claimed for payment transactions. With effect from 1 April 2025, the revised agency commission rates are INR 40 per transaction for receipts in physical mode, INR 12 per transaction for receipts in e-mode, and INR 80 per transaction for pension payments. For payments other than pensions, the rate is 7 paise per INR 100 of turnover. Separately, agency commission will be payable on all payment transactions handled by agency banks except transactions that are pre-funded or where the relevant government pays some compensation to the agency bank, with all other instructions in the Master Circular remaining unchanged.
Reserve Bank of India 2025-06-16
Reserve Bank of India revises agency commission rates for agency banks’ government business and expands commission coverage for payment transactions
The Reserve Bank of India revised agency commission rates under the Master Circular on Conduct of Government Business by Agency Banks, effective 1 April 2025. New rates include INR 40 per transaction for physical receipts, INR 12 for e-mode receipts, and INR 80 for pension payments, with 7 paise per INR 100 for other payments. Commission is payable on all transactions except pre-funded ones or where government compensation is provided, with other Master Circular instructions unchanged.