Banking & Finance

Indian banks have written off lakhs of crores in non-performing assets over the past decade, a fact that periodically generates public outrage when presented alongside statistics about agricultural debt or small borrower distress. However, the legal distinction between a write-off and a waiver is fundamental, and misunderstanding it leads to confusion about what banks actually do when they 'write off' a loan. Under RBI guidelines, a write-off is an accounting adjustment that

The Securities and Exchange Board of India (SEBI) has significantly expanded its Online Dispute Resolution (ODR) framework for the Indian securities market. Through the SMART ODR portal, investors can now resolve disputes with brokers, depository participants, and other market intermediaries through a structured two-tier process of conciliation and arbitration, all conducted online. The 2026 amendments bring depositories within the ODR ambit, introduce direct arbitration for

The Reserve Bank of India has issued comprehensive Asset Liability Management (ALM) Directions for 2026 applicable to all commercial banks in India. These directions establish a detailed framework for measuring, managing, and reporting interest rate risk, liquidity risk, and other balance sheet risks. The ALM framework is central to prudent banking practice and ensures that banks maintain sufficient liquidity buffers, manage maturity mismatches, and stress test their balance

The Reserve Bank of India has amended its Directions on Concentration of Credit for Non-Banking Financial Companies (NBFCs) for 2026, establishing stricter exposure limits and a comprehensive framework for managing concentration risk. These amended directions apply to all registered NBFCs and require careful monitoring of exposure to single borrowers, related parties, groups, and sectors. The RBI's focus on concentration risk reflects the banking regulator's concern that exce

On April 24, 2026, the Supreme Court of India delivered a significant judgment in Chaitanya Bahuuddeshiya Shikshan Prasarak Mandal v. Auxilo Finserve Pvt. Ltd. (2026 INSC 408) that has profound implications for educational institutions facing financial distress. A bench comprising Justices Dipankar Datta and Satish Chandra Sharma ordered the closure of Chaitanya Public School in Kolhapur, Maharashtra from May 1, 2026, for defaulting on a debt of Rs 5.06 crore. This judgment u

Effective April 1, 2026, all Alternative Investment Fund (AIF) units must be held in dematerialised form. This directive from the Securities and Exchange Board of India (SEBI) represents a significant shift in how fund units are issued, held, and transferred. This article explains the regulatory requirement, its implications for fund managers and investors, and the practical compliance steps required. What is Dematerialisation? Dematerialisation is the process of converting

The Reserve Bank of India has issued comprehensive amendments consolidating various directions regarding investments by Non-Resident Indians in debt instruments and provisions relating to their use as collateral for exchange traded derivative contracts on recognized stock exchanges in India. This consolidation represents an important clarification of NRI investment rules, making the regulatory framework more coherent and accessible. Non-Resident Indians seeking to invest in I

The Reserve Bank of India released its first Monetary Policy Review of FY 2026-27 on 8 April 2026, maintaining a neutral stance and keeping the benchmark repo rate unchanged at 5.25 percent. This decision signals the RBI's confidence that inflation is manageable while growth remains the priority. For businesses, this means interest rates will likely remain stable for the near term, though external shocks could change the calculus. This article explains the RBI's reasoning, in

The Reserve Bank of India has updated its Know Your Customer and Anti-Money Laundering compliance framework for 2026. All regulated entities, including banks, NBFCs, and fintechs, must implement enhanced customer due diligence, real-time sanctions list screening with 24-hour update windows, and Politically Exposed Person checks at both onboarding and periodic intervals. The updated framework reflects India's commitment to the Financial Action Task Force recommendations and in

Effective January 2026, SEBI replaced the three-decade-old SEBI Stock Brokers Regulations 1992 with an entirely new framework. The new regulations modernize broker governance, strengthen client asset protection, and enable brokers to undertake multiple regulated financial activities under a unified regulatory umbrella. One of the most critical changes is mandatory segregation of client funds and securities, preventing brokers from committing client assets to unauthorized purp

The Supreme Court in Regenta Hotels Pvt. Ltd. v. Hotel Grand Centre Point clarified the precise trigger point for arbitration commencement under the Arbitration and Conciliation Act 1996. The judgment holds that arbitration commences when the respondent receives the notice invoking arbitration, not when the claimant dispatches it or when the arbitration agreement is signed. This clarity eliminates temporal disputes about when statutory limitation periods and procedural timeli

In January 2026, the Securities and Exchange Board of India (SEBI) issued significant amendments to the Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015. These changes, effective immediately, reduce compliance burdens for certain debt-listed entities while introducing stricter investor protection measures. Understanding these changes is essential for listed companies, especially those with debt instruments. What Are HVDLE and Why They Matter HVDLE st

The Reserve Bank of India (RBI) has issued new guidelines to accelerate cross-border inward payments, a development that directly benefits Indian exporters, service providers, and individuals receiving international remittances. Understanding these guidelines is important for compliance and operational planning. What Changed in the RBI Guidelines The RBI's guidelines, effective from April 2026, impose stricter timelines on banks for processing incoming international payment

On March 6, 2026, SEBI issued Circular HO/24/12/12(5)2026-IMD-SEC-1/I/6373/2026 introducing a new mutual fund debit freeze facility. This voluntary measure empowers investors to freeze redemption transactions in their mutual fund folios, protecting against unauthorized withdrawals, fraud, and identity theft. The facility is a significant step in investor protection. How the Debit Freeze Works The debit freeze is a voluntary facility allowing mutual fund investors to lock the

The Securities and Exchange Board of India notified the SEBI (Listing Obligations and Disclosure Requirements) Amendment Regulations, 2026, which introduce several changes to corporate governance and disclosure requirements for listed entities. These amendments take effect immediately and cover capital raising, appointment of independent directors, and more. Companies must act now to ensure compliance. Here's what you need to know. Changes to Independent Director Eligibility

The Securities and Exchange Board of India has announced a one-time relaxation from the applicability of penal provisions for listed entities that are unable to comply with minimum public shareholding requirements between April 1, 2026 and September 30, 2026. The decision, announced in early April 2026, comes in response to representations from industry bodies highlighting the difficulties faced by listed companies in diluting promoter holdings during a period of significant

The Securities and Exchange Board of India has released a consultation paper proposing the reintroduction of open market share buybacks through stock exchanges. The paper, published on April 2, 2026, invites public comments until April 23, 2026. This move follows the discontinuation of the open market buyback route from April 1, 2025, which was prompted by concerns over unequal shareholder participation and tax-induced inequity. With the taxation framework for buybacks having

The Reserve Bank of India has notified the Foreign Exchange Management (Borrowing and Lending) (First Amendment) Regulations, 2026, which consolidate and restructure the regulatory framework governing External Commercial Borrowings (ECBs) in India. The amendment, which came into effect in February 2026, brings together provisions that were previously scattered across the FEM (Borrowing and Lending) Regulations, 2018, RBI Master Directions on ECBs, and various frequently asked

The Reserve Bank of India has notified the Foreign Exchange Management (Guarantees) Regulations, 2026, replacing the Foreign Exchange Management (Guarantees) Regulations, 2000. The new framework comprehensively overhauls the regulatory regime governing cross-border guarantees involving persons resident in India. Issued under the Foreign Exchange Management Act, 1999, the 2026 regulations introduce a principle-based, eligibility-driven framework that shifts away from the earli

The Reserve Bank of India has introduced a new regulatory classification for non-banking financial companies that neither accept public funds nor maintain a customer interface and hold assets below Rs 1,000 crore. Termed "Unregistered Type I NBFCs," these entities are now exempt from the requirement of registration under Section 45-IA of the Reserve Bank of India Act, 1934, with effect from April 1, 2026. The move is part of RBI's broader recalibration of NBFC regulation unde