TestCloud
Prep • Practice • Perform
Log In

RBI Establishes Regulatory Review Cell (RRC) and Advisory Group on Regulation (AGR) for Periodic Regulatory Review.

Banking & Finance | Dated: 20 Sep 2025

In September 2025, the Reserve Bank of India (RBI) announced the creation of a new Regulatory Review Cell (RRC) within its Department of Regulation (DoR), effective from October 1, 2025. The initiative is designed to make the regulatory framework more effective, responsive, and aligned with the evolving financial sector.

🎯 Key Highlights:

  • - The Regulatory Review Cell (RRC) has been set up to systematically oversee the internal review of all RBI regulations. This ensures that existing rules remain relevant and updated with changing market dynamics.
  • - Each RBI regulation will be revisited once every five to seven years, ensuring a structured and phased approach to regulatory assessment, thereby maintaining regulatory efficiency and stability.
  • - The RRC aims to review regulations in a timely manner, reduce redundancies, and align regulatory measures with financial innovation, safeguarding both market stability and consumer protection.

💡 Other Important Facts:

  • (i) Alongside the RRC, the RBI established an Advisory Group on Regulation (AGR) to strengthen stakeholder engagement. The AGR acts as a bridge between regulators and industry players, ensuring industry perspectives are incorporated into the regulatory process.
  • (ii) The AGR will function for three years initially, renewable for another two years, subject to review. The group also retains the flexibility to co-opt additional experts when required.
  • (iii) The AGR is chaired by Rana Ashutosh Kumar Singh (MD, State Bank of India) and includes eminent financial leaders such as T.T. Srinivasaraghavan (Sundaram Finance Ltd), Gautam Thakur (Saraswat Co-operative Bank), Shyam Srinivasan (Federal Bank), Ravi Duvvuru (Jana Small Finance Bank), and N.S. Kannan (ICICI Prudential Life Insurance Co. Ltd).

📚 Test Your Knowledge:

Which institution recently set up a Regulatory Review Cell (RRC) to periodically review its regulations?

Correct Answer: RBI

🚀 Quick Recap:

About RBI

  • Governor : Sanjay Malhotra
  • Headquarter : Mumbai