RBI told Urban Cooperative Banks to Report Credit of 5 Crore Rupees and above

The Reserve Bank of India (RBI) on recently ordered the urban cooperative banks (UCBs) to report exposures of ₹5 crore or more to a central repository, within a month of end-of-quarter.

“The banks need to submit the data on large exposures within 30 days from the end of the quarter through XBRL reporting platform of RBI. Banks may put in place appropriate systems to be in readiness to submit the return on a more frequent periodicity,” said the RBI.

As per the RBI, the report should comprise three sections—exposure to large borrowers, reporting of technically or prudentially written-off accounts, and reporting of balance in current account.

“Banks are advised to take utmost care about data accuracy and integrity while submitting the data on large credits to the Reserve Bank of India, failing which penal action would be undertaken,” the central bank said.

To make cooperative banks, compliant to the norms of commercial banks, the RBI on 27 December mandated them to report credit information, including classification of an account as special mention account (SMA) to the central repository of information on large credits (CRILC). Special mention accounts (SMA) are accounts exhibiting signs of incipient stress resulting in the borrower defaulting in timely servicing of debt obligations, however it has not yet been classified as NPA. On 5 December, the central bank announced some measures related to UCBs, which includes exposure norms, a credit repository and cybersecurity norms. The CRILC database is used by banks and other financial institutions to share, among themselves and with RBI, the classification status of borrowers.