Content Gen Dashboard

On July 27, 2026, the Reserve Bank of India (RBI) issued four draft amendment directions aimed at improving efficiency, liquidity, and transparency in the issuance and subsequent transfer of Securitisation Notes (SNs). The amendments apply to commercial banks, small finance banks, non-banking financial companies, and all India financial institutions. The RBI released the following draft directions for public consultation: Reserve Bank of India (Commercial Banks - Securitisation Transactions) Amendment Directions, 2026; Reserve Bank of India (Small Finance Banks - Securitisation Transactions) Amendment Directions, 2026; Reserve Bank of India (Non-Banking Financial Companies - Securitisation Transactions) Amendment Directions, 2026; and Reserve Bank of India (All India Financial Institutions - Securitisation Transactions) Amendment Directions, 2026. The amendments are designed to enhance the securitisation framework by addressing operational and market efficiency concerns. By broadening the scope of eligible participants and streamlining processes, the RBI aims to facilitate greater participation in securitisation markets and improve the functioning of secondary markets for securitised instruments. The consultation period closes on August 27, 2026. Stakeholders and members of the public can submit comments and feedback through the Connect2Regulate section on the RBI's website or by sending submissions to the Chief General Manager, Credit Risk Group, Department of Regulation, at the RBI's Central Office in Mumbai, or by email. All four financial institution categories covered by the amendments—commercial banks, small finance banks, non-banking financial companies, and all India financial institutions—should review the proposed changes and provide feedback during the consultation period.

On July 27, 2026, the Reserve Bank of India (RBI) Reserve Bank of India (RBI) issued the Draft Reserve Bank of India (Commercial Banks - Securitisation Transactions) Amendment Directions, 2026. The draft amendment directions prescribe: Dematerialised format detailing the mandatory format for securitisation notes, which requires that their issuance, holding, and subsequent transfer under these directions shall only be conducted in a dematerialised form. Minimum ticket size mandating that the minimum ticket size, defined as the size of investment by a single investor, must be strictly maintained at INR10m (US$104,000) at the time of issuance as well as during any subsequent transfers. SPE agreement clauses prescribing a mandatory condition for the agreement between the originator and the Special Purpose Entity (SPE), requiring it to include a specific clause to ensure ongoing compliance with the minimum ticket size requirement by the SPE. Public offer classification establishing that an offer of securitisation notes shall be deemed to have been made to the public if it is offered to a number of persons that meets or exceeds the limits prescribed by Regulation 21 of the SEBI (Issue and Listing of Securitised Debt Instruments and Security Receipts) Regulations, 2008. Feedback on the draft amendments may be submitted via the RBI's Connect2Regulate platform by August 27, 2026.

meta_id 3355617

Generated

India's Reserve Bank Issues Draft Securitisation Transaction Amendment Directions for Public Consultation

Agent draft

Published

Reserve Bank of India Seeks Feedback on Draft Securitisation Transaction Amendment Directions for Commercial Banks