Key Reforms Introduced by the Banking Laws (Amendment) Bill, 2024
| Key Aspect | Details |
|---|---|
| Event | Parliament passed the Banking Laws (Amendment) Bill, 2024 |
| Date | March 26, 2025 |
| Approval | Rajya Sabha (voice vote), Lok Sabha (December 2024) |
| Key Reforms | - Up to four nominees for bank accounts |
| - Redefinition of 'substantial interest' (₹5 lakh to ₹2 crore) | |
| - Extended tenure for cooperative bank directors (8 to 10 years) | |
| - Revised auditor remuneration policies | |
| - Modified regulatory reporting dates | |
| Nominee Changes | - Four nominees allowed for cash and fixed deposits |
| - Simultaneous nominations for lockers | |
| Substantial Interest | Threshold increased from ₹5 lakh to ₹2 crore |
| Cooperative Banks' Governance | Directors can serve for 10 years (previously 8 years) |
| Directors of Central Cooperative Banks can join State Cooperative Banks | |
| Oversight & Compliance | Auditor remuneration flexibility |
| Reporting dates changed to 15th and last day of each month | |
| Wilful Defaulters | 112 bank fraud cases handled by Enforcement Directorate in 5 years |
| Public Sector Banks' Performance | Highest-ever profit of ₹1.41 lakh crore in last fiscal year |
| Comprehensive Reform | Impacts five banking laws, marking a landmark reform |