Mumbai, March 25 -- The Reserve Bank of India (RBI) has introduced revised Priority Sector Lending (PSL) guidelines, set to take effect from April 1, 2025.

The changes aim to enhance financial inclusion by increasing loan limits, redefining weaker sections, and setting revised targets for Urban Cooperative Banks (UCBs).

A key update includes higher loan limits for housing and renewable energy projects. These adjustments are expected to facilitate greater credit flow to individuals in urban and rural areas while promoting clean energy investments.

Additionally, the PSL target for UCBs has been increased to 60 per cent of Adjusted Net Bank Credit (ANBC) or Credit Equivalent of Off-Balance Sheet Exposures (CEOBSE), ensuring a stronger rol...