The Reserve Bank of India has amended its urban co-operative bank liquidity directions to exempt fresh Non-Resident (External) Rupee term deposits with tenors of at least three years from cash reserve ratio (CRR) and statutory liquidity ratio (SLR) requirements. The temporary measure, which follows equivalent relief for regional rural and rural co-operative banks, covers deposits mobilized or renewed at maturity from June 19 through Sept. 30, 2026, and takes immediate effect. The CRR exemption applies from the reporting fortnight beginning July 16, 2026, based on net demand and time liabilities calculated as of June 30. It remains available on the original deposit amount while the deposit stays on the bank’s books. Transfers from Non-Resident (Ordinary) accounts to NRE accounts do not qualify.
2026-06-19Reserve Bank of India
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.