New Delhi, Jan. 7 -- The Reserve Bank of India (RBI) has invited comments on the draft 'Prudential Norms on Dividend and Remittance of Profit' Directions, 2026, which propose a revised framework for the declaration of dividends and remittance of profits by banks in India.

The draft has been released for public consultation until February 5, 2026, with feedback to be submitted via the 'Connect2Regulate' section on the RBI website.

Background and Objective

The draft Directions follow a review of the existing prudential norms governing dividend declaration and profit remittance by foreign banks operating in branch mode in India.

An earlier draft was issued for comments on January 2, 2024, and stakeholder feedback has been incorporated in...