Penal Interest on Shortfall in CRR and SLR Requirements · RBI/2026-27/283
RBI notification RBI/2026-27/283 · 07 Oct 2026
Official title
Penal Interest on shortfall in CRR and SLR requirements - Change in Bank Rate
Summary
Check the official recordWhat changed
The Reserve Bank of India increases the Bank Rate from 5.50 per cent to 5.75 per cent. This change revises the penal interest rates on shortfalls in Cash Reserve Ratio and Statutory Liquidity Ratio requirements. All banks must apply the new penal interest rates with immediate effect. The penal interest rates now equal the Bank Rate plus 3.0 percentage points or the Bank Rate plus 5.0 percentage points. These adjustments result in new penal rates of 8.75 per cent and 10.75 per cent respectively.
What you must do
- Banks must apply the revised penal interest rates for shortfalls in CRR and SLR requirements.
Key dates
- Effective from
- 07 Oct 2026
- Effective date of the revised Bank Rate and penal interest rates
Document text
RBI/2026-27/283
DoR.RET.REC.239/12.01.001/2026-27
October 07, 2026
All banks,
Madam / Sir,
Penal Interest on shortfall in CRR and SLR requirements - Change in Bank Rate
Please refer to our circular DoR.RET.REC.341/12.01.001/2025-26 dated December 05, 2025 on the captioned subject.
- As announced in the Monetary Policy Statement, 2026-27 dated October 07, 2026, the Bank Rate is revised upwards by 25 basis points from 5.50 per cent to 5.75 per cent with immediate effect. Accordingly, all penal interest rates on shortfall in CRR and SLR requirements, which are specifically linked to the Bank Rate, also stand revised as under:
Penal Interest Rates which are linked to the Bank Rate
| Item | Existing Rate | Revised Rate (With immediate effect) | | --- | --- | --- | | Penal interest rates on shortfalls in reserve requirements (depending on duration of shortfall) | Bank Rate plus 3.0 percentage points (8.50 per cent) or Bank Rate plus 5.0 percentage points (10.50 per cent) | Bank Rate plus 3.0 percentage points (8.75 per cent) or Bank Rate plus 5.0 percentage points (10.75 per cent) |
Yours faithfully,
(Manoranjan Padhy)
Chief General Manager
Source details
- Source
- Reserve Bank of India
- Type
- notification
- Published by source
- 07 Oct 2026
- Document number
- RBI/2026-27/283
- Effective date
- 07 Oct 2026
- Coverage area
- banking