Summary
RBI released draft Priority Sector Lending (Targets and Classification) Directions, 2026, separately for commercial banks, small finance banks, local area banks, RRBs and urban co-operative banks. They would replace the single 2025 Master Directions. Reported targets, such as the 40% overall target for domestic commercial banks, stay the same, and loans already classified remain eligible until maturity.
What it means for you
Banks should review the entity-specific drafts and send comments by 26 November 2026; no change to PSL targets is proposed so far.
This summary is general information, not legal advice. The outcome of any case depends on its facts; read the source and take advice before acting.
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