RBI vide notification dated June 23, 2022 has issued the Draft Master Direction on Outsourcing of IT Services. The provisions of these Directions shall be applicable to the following entities:
- Scheduled Commercial Banks (excluding Regional Rural Banks);Local Area Banks;
- Small Finance Banks;
- Payments Banks;
- Primary (Urban) Co-operative Banks having asset size of ₹1000 crore and above;
- Non-Banking Financial Companies in Top, Upper and Middle Layers1;Credit Information Companies; and
- All India Financial Institutions (NHB, NABARD, SIDBI, EXIM Bank and NaBFID)
Comments / feedback from REs and other stakeholders may be submitted by July 22, 2022 through email with the subject line ‘Feedback on Master Direction on Outsourcing of IT Services’. The final Master Direction shall be issued by Reserve Bank after considering the feedback received.