RBI directs large co-op banks to report exposures above Rs 5 cr

Mumbai: The Reserve Bank on Friday directed large cooperative banks to report all exposures of Rs 5 crore and more to the Central Repository of Information on Large Credits (CRILC), a move aimed at early recognition of financial distress.

The Reserve Bank has created a CRILC of commercial banks, all India financial institutions and certain non-banking financial companies with multiple objectives, which, among others, include strengthening offsite supervision and early recognition of financial distress.

Earlier in its bi-monthly monetary policy review this month, the RBI had announced that to bring UCBs with assets of Rs 500 crore and above under the CRILC reporting framework.

"It has been decided that Primary (Urban) Co-operative Banks (UCBs) having total assets of Rs 500 crore and above...on all borrowers having aggregate exposures of Rs 5 crore and above with them to CRILC maintained by the Reserve Bank," it said in a notification.

Aggregate exposure will include all fund-based and non-fund based exposure (like partial credit enhancement) including investment exposure on the borrower.

To start with, UCBs will be required to submit CRILC report on quarterly basis with effect from December 31, 2019.

Detailed operating instructions will be issued shortly, RBI said.