The RBI has published a third amendment to the Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR) for urban co-operative banks, affecting liquidity management practices.
RBI Amends CRR and SLR for Urban Co-operative Banks
The Reserve Bank of India (RBI) released the third amendment to the Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR) for urban co-operative banks on June 19, 2026. This amendment seeks to enhance the principles of effective liquidity management for these institutions.
It outlines revisions concerning fresh Non-Resident (External) Rupee (NRE) term deposits, which plays a critical role in the liquidity dynamics of urban co-operative banks.
This regulatory change reflects the RBI's commitment to maintaining financial stability and enhancing the operational resilience of urban co-operative banks in meeting depositor needs.
Legal professionals working with urban co-operative banks should be aware of these changes to ensure compliance with the updated regulations and to adapt their strategies accordingly.
Citations
- RBI Amendments (2026) RBI/2026-27/147
