The Reserve Bank of India amended its liquidity directions for rural co-operative banks 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 covers deposits mobilized or renewed at maturity between June 19 and Sept. 30, 2026, and aligns with similar relief intended to support longer-term nonresident deposit mobilization at regional rural banks. 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 for as long as 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 tenor NRE deposits at rural co operative banks from CRR and SLR until Sept. 30, 2026
The Reserve Bank of India has exempted fresh NRE term deposits of three years or more at rural co operative banks from CRR and SLR if they are raised between June 19, 2026 and Sept. 30, 2026. The measure includes renewed deposits, takes immediate effect, and for CRR applies from the reporting fortnight beginning July 16, 2026. Transfers from NRO accounts to NRE accounts are excluded.