In this document we have covered the select RBI notifications and directives for the month of April 2025 and produced a gist of it. For detailed and full study, link is provided that will take us to the RBI communication.
NOTIFICATIONS:
- RBI/2025-26/33 DCM.RMMT.No.S312/20-02-001/2025-2026 dated 28.04.2025
Subject: Dispensation of ₹100 and ₹200 denomination banknotes through ATMs
Gist:
- By September 30, 2025: 75% of all ATMs shall dispense either ₹100 or ₹200 denomination banknotes from at least one cassette.
- By March 31, 2026: 90% of all ATMs shall dispense either ₹100 or ₹200 denomination banknotes from at least one cassette.
- RBI/FED/2025-26/32 A.P. (DIR Series) Circular. No 04/2025-26 dated 24.04.2025
Subject: Amendments to Directions – Compounding of Contraventions under FEMA, 1999
https://website.rbi.org.in/documents/d/rbi/apdircircularno04english
Gist:
Compounding amount for contravention under FEMA is capped at Rs, 2,00,000/-
[Author’s Note: Compounding is a process where the complainant enters into a settlement with accused, leading to his acquittal]
- RBI/2025-26/30 A.P. (DIR Series) Circular No. 03 dated 23.04.2025
Subject: Exports through warehouses in ‘Bharat Mart’ in UAE – relaxations
https://website.rbi.org.in/documents/d/rbi/apdirbharatmarten
To facilitate export through warehouses in ‘Bharat Mart’, a multimodal logistics network based marketplace in United Arab Emirates (UAE) that will provide Indian traders, exporters, and manufacturers access to the markets in UAE as well as worldwide, it has been decided to provide the following relaxations:
a) AD banks may allow exporters to realise and repatriate full export value of goods exported to ‘Bharat Mart’ within nine months from the date of sale of the goods from the warehouse.
b) AD banks may allow the following without any pre-conditions, after verifying the reasonableness of the same:
(i) Opening/hiring of a warehouse in ‘Bharat Mart’ by an Indian exporter with a valid Importer Exporter Code.
(ii)Remittances by the Indian exporter for initial as well as recurring expenses for setup and continuing business operations of its offices.
- RBI/2025-26/28 CO.DIT.DCD.No.S81/01-71-110/2025-26 dated 22.04.2025
Subject: Circular – Migration to ‘.bank.in’ domain
https://website.rbi.org.in/documents/d/rbi/migrationtobankindomaincircular
Gist:
- RBI has announced vide Statement on development and Regulatory policies dated 07.02.2025 the introduction of ‘bank.in’ domain for Banks and ‘fin.in’ domain for non bank financial entities.
- IDRBT is working as exclusive registrar for this domain.
- Banks are expected to migrate to the new domain i.e ‘bank.in’ not later than 31.10.2025
- RBI/2025-26/27 DOR.LRG.REC.18/03.10.001/2025-26 dated 21.04.2025
Subject: Basel III Framework on Liquidity Standards – Liquidity Coverage Ratio (LCR) – Review of haircuts on High Quality Liquid Assets (HQLA) and review of composition and run off rates on certain categories of deposits
https://website.rbi.org.in/documents/d/rbi/dorcircularonliquiditycoverageratio
Gist: Effective date 1st April 2026
| Category | Present Run off factor | Revised Run off factor |
| Stable Deposit | 5% | 7.50% |
| Less stable deposit | 10% | 12.50% |
| Funding from non-financial entities such as trusts, Association of Persons (AoPs), partnerships, proprietorships, Limited Liability Partnerships and other incorporated entities etc | 100% | 40% |
- Level 1 HQLA in the form of Government securities shall be valued at an amount not greater than their current market value, adjusted for applicable haircuts in line with the margin requirements under the Liquidity Adjustment Facility (LAF) and Marginal Standing Facility (MSF)
- In case a deposit, hitherto excluded from LCR computation (for instance, a non-callable fixed deposit), is contractually pledged as collateral to secure a credit facility or loan, such deposit shall be treated as callable for LCR purposes.
- RBI/2025-26/26 DOR.MCS.REC.17/01.01.003/2025-26 dated 21.04.2025
Subject: Opening of and operation in deposit accounts of minors
https://website.rbi.org.in/documents/d/rbi/finalcircularminoraccounts
Gist:
- Minors of any age can open accounts thorough their natural guardians.
- Minors of 10 years and above can operate accounts independently, upto a limited amount as fixed by banks.
- On attaining the age of majority, fresh operating instructions and specimen signature of the account holder shall be obtained and kept on record. Moreover, if the account is operated by the guardian, the balance shall be got confirmed. The banks shall take advance action, including communicating these requirements to minor account holders attaining the age of majority, to ensure fulfilment of these requirements.
- Banks may offer internet banking and other facilities to minor accounts as per their policy.
- Overdrawing is not permitted in minor accounts.
Guidelines are issued under sec 35 A and 56 of BR Act 1949.
- RBI/2025-26/20 A.P. (DIR Series) Circular No. 01 dated 03.04.2025
Subject: Limits for investment in debt and sale of Credit Default Swaps by Foreign Portfolio Investors (FPIs)
https://website.rbi.org.in/documents/d/rbi/dirgrlimitsfy202526apr032025final-1-
Gist:
Investment limit for FPIs for FY 2025-26
| Category | Limit as % of outstanding stock |
| Government security | 6% |
| State Govt Security | 2% |
| Corporate Bond | 15% |
| CDS | 5% |
[Author’s Note: What is Credit Default Swap- In Credit Default Swap one party (seller of CDS) agrees to pay the credit default amount against a regular premium paid by another party (buyer of CDS). For example, A issues a Bond for 10 years and B invested 10 crore in these bonds. After 2 years B feels that A may not be able to repay the amount. To avoid this risk B will contact C and agreement of CDS will be entered between B & C. B will pay a regular premium to C and C agrees to reimburse B any default by A. Here B is CDS buyer and C is CDS seller].
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