Notification No. DoR.LIC.No.S2196/16.13.215/2025-26, Dated: 19.06.2025
The Reserve Bank of India (RBI) has officially included NSDL Payments Bank Limited in the Second Schedule of the Reserve Bank of India Act, 1934, thereby conferring upon it the status of a Scheduled Bank.
1. Legal Basis of Inclusion
The inclusion has been made under Clause (a) of Sub-section (6) of Section 42 of the RBI Act, 1934, which empowers the Reserve Bank to notify banks as scheduled banks once they meet the prescribed criteria.
2. What Scheduled Bank Status Means
Being classified as a Scheduled Bank offers several advantages, including:
- Access to RBI’s liquidity adjustment facility (LAF)
- Membership in the clearinghouse
- Eligibility to participate in government and central bank auctions
- Higher credibility and operational standing in the banking ecosystem
3. About NSDL Payments Bank
NSDL Payments Bank, a subsidiary of National Securities Depository Limited (NSDL), operates in the digital banking space, focusing on leveraging technology to provide accessible financial services. Its inclusion in the list of scheduled banks marks a significant step in its evolution and regulatory stature.
4. Conclusion
With this recognition, NSDL Payments Bank joins the list of banks formally recognised by the RBI as part of India’s core banking structure, paving the way for broader participation in central banking operations and enhanced service delivery.
Click Here To Read The Full Notification
The post RBI Grants Scheduled Bank Status to NSDL Payments Bank appeared first on Taxmann Blog.