RBI Launches Initiative To Consolidate 8,000 Rules Into 3,000 Active Regulations

The Reserve Bank of India (RBI) has established a 30-member Regulatory Review Cell (RRC) to review its 8,000 existing regulations, circulars, and notifications, with a plan to consolidate them into approximately 3,000 active rules.

The initiative aims to cut compliance costs, enhance transparency, and modernise the regulatory framework. RBI Governor Sanjay Malhotra said the process will focus on identifying obsolete regulations, assessing their relevance, and closing regulatory gaps. In its first phase, the RRC has identified 33 core subjects for unifying directives. The Cell will review regulations every 5–7 years to maintain clarity and consistency. This internal exercise, involving officers from multiple RBI departments, is expected to be completed in phases and reviewed by the Governor and Deputy Governors.

The move builds on the RRA (Regulations Review Authority) 2.0 exercise completed in 2022. Experts believe this institutionalised review could prevent the accumulation of redundant norms over time.