"JSA Partners author Banking & Finance Guide 2025: India"

The Reserve Bank of India (RBI) has once again demonstrated its commitment to creating a simpler, smarter, and more transparent regulatory environment for India’s financial sector. In a major reform move, the RBI has undertaken a comprehensive consolidation of all regulatory instructions administered by its Department of Regulation—covering every directive issued up to October 9, 2025. 🔹 238 Master Directions have been compiled across 11 categories of regulated entities and 30 functional areas 🔹 Nearly 9,000 existing circulars (including earlier Master Directions and Circulars) are proposed to be repealed This exercise is a game-changer for the entire BFSI ecosystem. It will: ✅ Reduce compliance burden and regulatory overlap ✅ Enhance accessibility and clarity for every class of regulated entity ✅ Strengthen the ease of doing business in the financial services domain The RBI has invited comments and feedback on the draft consolidated Master Directions and the list of circulars proposed to be repealed by November 10, 2025 — a collaborative step that underscores transparency and stakeholder participation. As an NBFC deeply aligned with RBI’s mission of responsible and compliant growth, we at Invest Gold Finance view this initiative as a transformative milestone—one that will help regulated entities operate with greater clarity, efficiency, and confidence. Kudos to the RBI for steering the sector toward regulatory excellence and operational harmony. #RBI #NBFC #Compliance #FinancialSector #RegulatoryReform #InvestGoldFinance #EmpoweringYourFinancialFuture

RBI releases draft “Commercial Banks – Capital Market Exposure” Directions, 2025 The Reserve Bank of India has proposed a unified prudential framework redefining how banks participate in capital markets. The draft introduces exposure ceilings, clear LTV norms, and defined safeguards for acquisition finance and market intermediaries. A forward-looking step to enhance transparency, strengthen risk management, and modernise India’s financial ecosystem. #RBI #BankingRegulation #CapitalMarkets #Fintech #NBFC #FinancialStability #CorporateFinance #RBIUpdates #IndianEconomy

𝐃𝐫𝐚𝐟𝐭 𝐑𝐁𝐈 𝐧𝐨𝐫𝐦𝐬 𝐫𝐞𝐬𝐭𝐫𝐢𝐜𝐭 𝐋𝐞𝐧𝐃𝐞𝐧 𝐚𝐦𝐨𝐧𝐠𝐬𝐭 𝐫𝐞𝐥𝐚𝐭𝐞𝐝 𝐩𝐚𝐫𝐭𝐢𝐞𝐬 𝐟𝐨𝐫 𝐍𝐁𝐅𝐂𝐬 The Reserve Bank of India (“RBI”) released the Draft Reserve Bank of India (Non-Banking Financial Companies – Lending to Related Parties) Directions, 2025 (“Draft Directions”) on October 1, 2025, inviting comments from stakeholders before its implementation from April 1, 2026. This Draft Directions replaces the earlier circular — Loans and Advances – Regulatory Restrictions for NBFCs (dated April 19, 2022), issued under the Scale-Based Regulation (SBR) framework. The revision aims to broaden the regulatory perimeter, tighten governance, and harmonise the treatment of related-party transactions across different categories of NBFCs. The Draft Directions also cover Quid Pro Quo or reciprocal transactions/ lending will be considered as lending to a related party, while the duty cast on Internal and Statutory auditors to verify whether these extant guidelines have been duly followed while lending to related parties. This article examines the key proposals introduced by the RBI under the Draft Directions, which are set to replace the existing relatively light-touch regulatory regime governing related-party transactions in NBFCs. 📌 𝐑𝐞𝐚𝐝 𝐭𝐡𝐞 𝐟𝐮𝐥𝐥 𝐚𝐫𝐭𝐢𝐜𝐥𝐞 𝐡𝐞𝐫𝐞: https://lnkd.in/g7QaWG7N #RBI #NBFC #RelatedPartyTransactions #CorporateGovernance #FinancialRegulation #NBFCCompliance #RBIUpdates #GovernanceReforms #RegulatoryFramework #LendingRegulations #FinancialTransparency #RiskManagement #RBI2025 #PolicyUpdate #NBFCGovernance #IndianBanking #CorporateCompliance #AuditAndGovernance #FinancialSector #RBIIndia

The Reserve Bank of India (RBI) has launched a significant exercise to simplify compliance and reduce regulatory burden. The RBI is consolidating ~9,000 circulars and Master Directions into just 238 Draft Master Directions/Guidelines across 11 types of regulated entities. This move aims to vastly improve the clarity and accessibility of regulations. The draft documents are open for comments regarding completeness and accuracy until November 10, 2025. A critical update for all finance and compliance professionals! #RBI #RegulatoryReform #Compliance #IndianFinance

Reserve Bank of India (RBI) has released a draft directive proposing a shift from the incurred loss model to a forward-looking Expected Credit Loss (ECL) framework. It borrows elements from IFRS 9 and CECL, but the design is distinctly more conservative - which makes sense given India’s supervisory priorities and market realities. I went through the draft and compared it with IFRS 9, CECL, and Basel III to see: 1. How the proposed framework stacks up against global standards, and 2. Where banks will still need to make interpretive or modelling choices. The differences are subtle but important - especially around staging, prudential floors, and how PD/LGD/EAD are operationalised. If you’re interested, here’s a detailed analysis: https://lnkd.in/dfpfnNvX If you’re working on ECL implementation, modelling, or accounting transitions, happy to share the line-by-line comparison to IFRS 9, CECL and Basel III - just drop a message or connect. #RBI #IFRS9 #CECL #ECL #RiskModelling #BankingRegulation #Finance #BaselIII

The Reserve Bank of India’s move to shift from an incurred-loss model to an Expected Credit Loss (ECL) framework is a changing a few things for Indian banking. By recognising credit risk before it crystallises, banks will build stronger buffers, deliver more transparency and brings Indian regulations in line with global accounting standards such as IFRS. Here is a nice comparision by Aayushi Gupta

RBI’s new draft Reserve Bank of India (Scheduled Commercial Banks-Asset Classification, Provisioning and Income Recognition) Directions, 2025 mark a defining shift in how Indian banks recognize, measure, and disclose credit risk and income. This isn’t just a regulatory update — it’s a paradigm shift in financial reporting, risk assessment, and governance. #RBI #ECL #IFRS9 #IndAS109 #FinancialReporting #BankingRegulation #Finance #Accounting #Audit #CFO #FinanceLeadership #RiskManagement #CreditRisk #FinanceTransformation #EIR #FinancialServices #FinanceCommunity #RegulatoryAdvisory #AccountingAdvisory #Proficere #FinanceProfessional #ICAI #WIRC

We are pleased to share that our firm Hardik D Mehta & Co. Chartered Accountants along with P. R. Bhuta & Co. Chartered Accountants. and Shah & Modi, Chartered Accountants, has made a detailed representation to the Reserve Bank of India (RBI) on on the draft amendments to the ECB Framework. RBI had recently issued draft regulations amending FEMA 3(R) - Foreign Exchange Management (Lending and Borrowing) Regulations, 2018 for public feedback on the same. Continuing our tradition of engaging proactively on policy matters, we’ve shared our inputs on the draft regulations. Our submission outlines key practical challenges and suggests ways to make the regulations more flexible and future-ready. We look forward to continuing these efforts and contributing meaningfully to the evolving regulatory landscape. Hardik Mehta CA, ADIT Tanvi Vora Pankaj Bhuta, Harshal Bhuta, Naisar Shah, Manoj Shah, Viral Satra, Arwa Mahableshwarwala, Heta Jhaveri. #RBI #FEMA #ECB #ExternalCommercialBorrowing #LendingandBorrowing

Consolidation of Regulations: RBI Initiative to Simplify Compliance 📘⚖️ The Reserve Bank of India (RBI) is working to simplify its regulatory framework by consolidating its rules and guidelines. The RBI aims to reduce the regulatory burden by making it easier for regulated entities to comply with updated and relevant rules, thereby lowering their compliance costs. 💡💼 Key Points 🔍: 1. The RBI has combined various guidelines, including around 9,000 circulars, into 238 Master Directions for 11 types of regulated entities, covering 30 functions and areas. 2. Approximately 9,000 old circulars will be repealed. 3. This consolidation will make it easier for entities to access and follow the rules, reducing compliance costs. 4. Each regulated entity will have its own set of clear, specific rules. Feedback Process 📨: The RBI has released Drafts of the 238 consolidated Master Directions / Guidelines and List of the circulars proposed to be repealed. Entities and stakeholders can provide feedback or comments on these drafts until November 10, 2025.🗓️ CS Alagar M CS Saravanan D CS Shylaja Ramarathinam CS Ramya Devi Kalpana Mahendran CS Dhinisha Raja CS Karthik Narayana CS Karthik Narayana Bhuvaneswari Ganesamurthy Reema Naseer Jayashree Shivani J N Rohith Hari V Akshaya Srinivasan Gowri Sankari Manoj Kumar Saravana kumar s Hamshika Baskar Sudhakar devaraj Amoga Priyan resh ma Devanandhini Palani Surbhi Mundhra Naveen A Rohith B. Dhahsheen Sahul Hameed Rethika Shrinivas Rivethika Venkatachalam Ragav Krishna Kadhirvel S #RBI #RegulatorySimplification #ComplianceEase #MasterDirections #FinancialRegulation #RBIUpdate

📢 RBI Issues Draft Directions, 2025 🏛️ The Reserve Bank of India (RBI) has issued the Draft RBI Directions, 2025 on 3rd October 2025 inviting public comments. These draft directions aim to enhance regulatory clarity, strengthen governance practices, and promote transparency across the financial sector. 🗓️ Stakeholders and the public are encouraged to share their feedback and suggestions within the prescribed timeline before the directions are finalized. #RBIUpdate #BankingRegulations #RBIDirections2025 #FinancialGovernance #ComplianceUpdate