New Delhi, April 9 -- The Reserve Bank of India (RBI) has issued draft Governance Amendment Directions, 2026, covering commercial banks, small finance banks, payments banks, and local area banks.
The RBI has invited stakeholder and public feedback on these directions, aimed at improving bank board functioning and strengthening oversight of strategy and risk, by May 7, 2026.
Shift to Principle-Based Governance Framework
The central bank said it has undertaken a comprehensive review of existing instructions to help bank boards use their time more effectively. As part of the changes, the earlier framework based on seven broad themes has been replaced with a principle-based approach.
This is intended to enable more focused and qualitati...