RBI/2023-24/104

DoR.SPE.REC. 63 /13.03.00/2023-2024

January 01, 2024

All Primary (Urban) Co-operative Banks

Madam/Sir,

Review of Instructions on Bulk Deposits for Urban Co-operative Banks (UCBs)

Please refer to Para 3 (a) (i) of Master Direction - Reserve Bank of India (Co-operative Banks - Interest Rate on Deposits) Directions, 2016 dated May 12, 2016, in terms of which “Bulk Deposit” means single Rupee term deposits of Rupees fifteen lakh and above.

2. On a review, it has been decided to enhance the bulk deposit limit for Scheduled Primary (Urban) Co-operative Banks, in Tier 3 and 4, to Rupees one crore and above. Accordingly, “Bulk Deposit” for Primary (Urban) Co-operative Banks would now mean:

i. Single Rupee term deposits of Rupees one crore and above for Scheduled UCBs categorised as Tier 3 and 4 UCBs under the revised regulatory framework.

ii. Single Rupee term deposits of Rupees fifteen lakh and above for all other UCBs (i.e., other than Scheduled UCBs in Tier 3 and 4).

The relevant sections of the Master Direction as amended are indicated in the Annex.

3. All other instructions in this regard shall remain unchanged.

Yours faithfully,

(Sunil T. S. Nair)     

Chief General Manager

Enclosure: As above

ANNEX

[Encl. to circular DoR.SPE.REC.63/13.03.00/2023-2024 dated January 01, 2024]
Master Direction – Reserve Bank of India (Co-operative Banks - Interest Rate on Deposits) Directions, 2016 dated May 12, 2016