The Reserve Bank of India (RBI) on Tuesday shortened the temporary relaxation period for certain Non-Resident deposits mobilised by Urban Co-operative Banks (UCBs) and rural cooperative banks, advancing the cut-off date from September 30 to August 31, 2026.
The move covers the CRR and SLR exemption available on specified fresh FCNR(B) and NRE deposits. For FCNR(B), the exemption applies to deposits with tenors of three to five years mobilised between June 8 and August 31, including renewals upon maturity. It also covers NRE term deposits of three years and above mobilised between June 19 and August 31, including renewals.
Separately, RBI has shortened the temporary interest-rate relaxation for these deposits for both UCBs and rural cooperative banks, with the earlier September 30 deadline also brought forward to August 31.
The amendments have been issued under the Banking Regulation Act, 1949, and take effect immediately.
The measures cover both categories of cooperative banks and have been announced through separate RBI directions.
