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RBI Bi-Monthly Monetary Rates

3rd Bi-Monthly Policy FY27 • Effective 5 Aug 2026

Policy Repo Rate5.25%
Standing Deposit Facility (SDF)5.00%
Marginal Standing Facility (MSF)5.50%
Bank Rate5.50%
Fixed Reverse Repo Rate3.35%
Cash Reserve Ratio (CRR)3.00%
Statutory Liquidity Ratio (SLR)18.00%

📅 MPC met 3–5 Aug 2026 • Stance: Neutral
Next meeting: 5–7 Oct 2026 | 2–4 Dec 2026 | 3–5 Feb 2027

₹213T
Total Banking Assets
12
Public Sector Banks
21
Private Sector Banks
46
Foreign Banks in India
5.25%
Current Repo Rate
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Banking Fundamentals

What is Banking?

Banking is the business of accepting deposits from the public for the purpose of lending or investment. As per the Banking Regulation Act, 1949 (Section 5(b)), "banking" means the accepting, for the purpose of lending or investment, of deposits of money from the public, repayable on demand or otherwise, and withdrawable by cheque, draft, order or otherwise.

The Indian banking system is regulated by the Reserve Bank of India (RBI), established on April 1, 1935, under the RBI Act, 1934. Indian banks serve as financial intermediaries, channeling savings into productive investments and providing a payments system for the economy.

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Accept Deposits

Current, Savings, Fixed & Recurring Deposits from individuals, corporates & institutions

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Provide Credit

Personal, Home, Business & Agricultural loans at competitive interest rates

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Payment Services

NEFT, RTGS, IMPS, UPI, SWIFT & other digital payment infrastructure

Indian Banking Structure

Types of Banks in India

The Indian banking system comprises various types of institutions, each serving distinct roles

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Public Sector Banks

Government-owned banks. E.g., SBI, PNB, Bank of Baroda, Canara Bank

12 Banks
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Private Sector Banks

Majority shareholding by private entities. E.g., HDFC Bank, ICICI Bank, Axis Bank

21 Banks
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Foreign Banks

Incorporated outside India with branches here. E.g., Citibank, Standard Chartered, HSBC

46 Banks
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Regional Rural Banks

Serve rural areas. Sponsored by commercial banks. E.g., AP Grameena Vikas Bank

43 RRBs
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Small Finance Banks

Serve unbanked segments. E.g., AU Small Finance Bank, Ujjivan, Equitas, ESAF

12 Banks
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Payment Banks

Limited banking services. Cannot issue credit. E.g., Airtel, IPPB, Fino Payments Bank

6 Banks
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