Source: BS
Context:
The Reserve Bank of India (RBI) has announced a major consolidation of its regulatory framework, streamlining thousands of circulars into a simplified structure to enhance clarity, accessibility, and compliance ease for regulated entities.
Key Highlights:
- Massive Consolidation Drive:
- The RBI will consolidate all regulatory instructions issued up to October 9, 2025, into 238 master circulars across 11 types of regulated entities and up to 30 regulatory areas.
- 9,000 Circulars to be Repealed:
- Around 9,000 circulars currently administered by the Department of Regulation will be repealed as part of this exercise.
- Objective:
- Simplify and improve accessibility of regulatory instructions.
- Reduce compliance costs for banks and other regulated entities.
- Ensure clarity on applicability of instructions to specific entities.
- Background:
- This consolidation continues the work initiated by the Regulations Review Authority (RRA), which had earlier reviewed RBI’s regulatory framework based on stakeholder feedback.
- The RRA had recommended:
- Withdrawal of 714 circulars, and
- Discontinuation/merger/conversion of 65 returns into online formats.
- The RRA had recommended:
- This consolidation continues the work initiated by the Regulations Review Authority (RRA), which had earlier reviewed RBI’s regulatory framework based on stakeholder feedback.
