Reserve Bank of India (Small Finance Banks – Credit Facilities) Fourth Amendment Directions, 2026

RBI/2026-27/182 DOR.STR.REC.155/21-04-048/2026-27 July 15, 2026

Reserve Bank of India (Small Finance Banks – Credit Facilities) Fourth Amendment Directions, 2026

Please refer to Reserve Bank of India (Small Finance Banks – Credit Facilities) Directions, 2025 (hereinafter referred to as ‘the Directions’).

2. In exercise of the powers conferred by the sections 21 and 35A of the Banking Regulation Act, 1949 and all other laws enabling the Reserve Bank in this regard, the Reserve Bank being satisfied that it is necessary and expedient in the public interest so to do, hereby issues the Amendment Directions hereinafter specified.

3. These Amendment Directions modify the Directions as under:

(i) In paragraph 78, an Explanation shall be added as under:

Explanation: Where it is possible for a project to be operationalised as multiple independent viable units, a bank may at its discretion finance such independent units as separate projects with their own financial closure, provided each unit is appraised ex-ante for standalone viability.

(ii) In paragraph 80, an Explanation shall be added as under:

Explanation: For the purpose of this paragraph, for projects in electricity generation where the project scope involves both generation and transmission (evacuation infrastructure), the right of way requirement for transmission may be determined as per sub-paragraph (3).

4. The above amendment would come into force with immediate effect.

(Vaibhav Chaturvedi) Chief General Manager