The Reserve Bank of India has amended its 2025 directions on cash reserve ratio and statutory liquidity ratio for urban co-operative banks to exempt fresh Non-Resident External Rupee term deposits with a tenor of three years or more from CRR and SLR requirements. The measure covers deposits mobilized between June 19, 2026 and September 30, 2026, including deposits renewed at maturity, and takes immediate effect. For CRR purposes, the exemption applies from the reporting fortnight beginning July 16, 2026, based on net demand and time liabilities computed as of June 30, 2026, and continues in subsequent fortnights. It applies only to the original deposit amounts for as long as the deposits remain on banks' books. Transfers from Non-Resident Ordinary accounts to NRE accounts do not qualify for the exemption.
Reserve Bank of India2026-06-19
Reserve Bank of India exempts new long-term NRE deposits at urban co-operative banks from CRR and SLR until September 30 2026
The Reserve Bank of India has exempted fresh NRE term deposits of three years or more raised by urban co-operative banks from CRR and SLR requirements until September 30, 2026. The relief includes renewed deposits, takes immediate effect, and for CRR starts from the reporting fortnight beginning July 16, 2026. Transfers from NRO accounts to NRE accounts are excluded.