Updates

The Master Direction – Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021 (updated as on May 05, 2025) provides a comprehensive regulatory framework for Housing Finance Companies (HFCs). It outlines guidelines on capital adequacy, asset classification, provisioning norms, and corporate governance to ensure the sound functioning of HFCs and protect the interests of stakeholders.

The Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023 (updated as on May 05, 2025) introduces a scale-based regulatory framework categorizing NBFCs into four layers based on their size, activity, and risk profile. This approach aims to enhance prudential regulation, ensure financial system stability, and protect the interests of investors and depositors by tailoring oversight to the specific characteristics of each NBFC category.

The Master Direction – Standalone Primary Dealers (Reserve Bank) Directions, 2016 (updated as on May 05, 2025) provides a comprehensive regulatory framework for Standalone Primary Dealers (SPDs) in India. These guidelines establish eligibility criteria, operational norms, capital adequacy requirements, and governance standards to ensure SPDs effectively contribute to the development and stability of the government securities market.

SPDs play a crucial role in the primary and secondary markets for government securities by participating in auctions, market-making, and providing liquidity. The updated directions aim to enhance transparency, risk management, and compliance within the SPD sector, aligning with global best practices and supporting the Reserve Bank of India’s monetary policy objectives.

The Master Direction – Non-Banking Financial Company – Peer to Peer Lending Platform (Reserve Bank) Directions, 2017 (updated as on February 27, 2025) provides a regulatory framework for NBFC-P2P platforms. These guidelines aim to ensure transparency, protect participants, and mitigate risks in the peer-to-peer lending ecosystem.

​The Reserve Bank of India’s Master Directions consolidate and streamline regulatory instructions across various financial sectors, ensuring clarity and consistency. These directives are periodically updated to reflect policy changes and are supplemented with FAQs for ease of understanding.

The Master Direction – Reserve Bank of India (Asset Reconstruction Companies) Directions, 2024 (updated as on April 23, 2025) provides a comprehensive regulatory framework for Asset Reconstruction Companies (ARCs) to ensure fairness, transparency, and accountability in their operations. It outlines guidelines on asset acquisition, management takeover, provisioning norms, and governance standards to strengthen the resolution of stressed assets and protect stakeholder interests .

These directions aim to enhance the efficiency and effectiveness of ARCs in the financial system by promoting prudent practices and aligning their operations with the broader objectives of financial stability and creditor protection.

The Reserve Bank of India’s Master Direction dated April 22, 2025, consolidates guidelines for compounding contraventions under the Foreign Exchange Management Act (FEMA), 1999, in line with the updated Foreign Exchange (Compounding Proceedings) Rules, 2024. It outlines procedures for applications, specifies cases eligible for compounding, and emphasizes compliance responsibilities for Authorised Dealer banks.

​The Reserve Bank of India’s Master Direction on Penal Provisions in Reporting of Transactions/Balances at Currency Chests, effective from April 1, 2025, mandates that all currency chest transactions be reported via the CyM-CC portal by 7 PM on the same day. Delays or inaccuracies in reporting will attract penal interest, calculated on a T+0 basis, to uphold the objectives of the Clean Note Policy and ensure accurate currency management.

I’m unable to access the specific content of the RBI Master Direction at the provided link. However, RBI Master Directions are comprehensive guidelines issued by the Reserve Bank of India to consolidate and update existing instructions on various regulatory topics. To obtain an accurate summary, please refer directly to the official RBI website or consult the document for detailed information.

The Reserve Bank of India (RBI) Master Directions on Know Your Customer (KYC) provide comprehensive guidelines for regulated entities to implement customer identification procedures, ensuring compliance with anti-money laundering (AML) and combating the financing of terrorism (CFT) standards.​

These directions outline the responsibilities of banks and financial institutions in verifying the identity of their customers, maintaining records, and reporting suspicious transactions, thereby promoting transparency and integrity in the financial system.

The Reserve Bank of India’s Master Direction ID 12818 outlines comprehensive guidelines for financial institutions regarding investments in non-government debt securities. It emphasizes prudential norms, disclosure requirements, and risk management practices to ensure transparency and safeguard investor interests in the debt market.

The “Master Direction – Reserve Bank of India (Interest Rate on Deposits) Directions, 2025” outlines the regulatory framework governing interest rates offered by banks on various deposit schemes. It aims to ensure transparency, customer protection, and consistency in deposit interest practices across the banking sector.