RESERVE BANK OF INDIA (SMALL FINANCE BANKS - INTERNAL AUDIT FUNCTION) DIRECTIONS, 2026TABLE OF CONTENTS

MUMBAI, India, July 31 -- Reserve Bank of India issued the following notification:

RBI/DoS/2026-27/422

DoS.CO.PPG.16/11.01.005/2026-27

July 31, 2026

Reserve Bank of India (Small Finance Banks - Internal Audit Function) Directions, 2026

Table of Contents Introduction Chapter I - Preliminary A. Short Title and Commencement B. Applicability C. Definitions Chapter II - Governance and Oversight A. Role of the Board B. Role of the Senior Management Chapter III - Risk-Based Internal Audit Framework A. Policy on Internal Audit B. Functional Independence C. Risk Assessment D. Scope E. Communication F. Performance Evaluation G. Outsourcing Chapter IV - Head of Internal Audit A. Authority, Stature, and Independence B. Tenure C. Reporting Line Ch...