The Reserve Bank of India (RBI) on Tuesday issued directions to bring clarity, brevity and harmonisation to the instructions issued to various supervised entities for submission of returns.
The move aims at reducing the burden of compliance on the regulated entities based on the recommendations of the Regulations Review Authority and an Internal Working Group of the central bank.
“In order to create a single reference for all supervisory returns and to harmonise the timelines for filing of returns, all the relevant instructions have been rationalised and consolidated into a single Master Direction,” the RBI said in a circular.
Applicability
The central bank said ‘Master Direction – Reserve Bank of India (Filing of Supervisory Returns) Directions – 2024’ will be applicable to all commercial banks (PSBs, private sector banks, SFBs, payment banks, and foreign banks), Urban Co-operative Banks, All India Financial Institutions (Exim Bank, NABARD, NHB, SIDBI and NABFID), all NBFCs, and Asset Reconstruction Companies (ARCs).
The RBI excluded regional rural banks and housing finance companies from the aforesaid norms.
It further said the PSBs must submit half-yearly and quarterly reviews of accounts within 21 days from the date of receipt of the statutory central auditor (SCA) report. Earlier, banks could submit the reviews whenever it was provided by the SCA.
The RBI also mandated lenders to submit interest rate sensitivity returns within 15 days for all months, as against previously mandated quarterly returns within 21 days.
“In case any Supervised Entities is found in violation of these Directions, the Reserve Bank may take necessary action including imposition of a penalty/fine under the extant provisions of the Banking Regulation Act, 1949 or the Reserve Bank of India Act, 1934 or the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, as the case may be,” the RBI added.
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Published: 27 Feb 2024, 07:06 PM IST