Mumbai, March 25, 2025 – The Reserve Bank of India (RBI) has directed banks not to impose excessive charges on loans up to ₹50,000 under the Priority Sector Lending (PSL) scheme. The central bank emphasized that such charges could discourage small borrowers, particularly those in rural and economically weaker sections, from accessing financial support.
RBI’s directive aims to enhance financial inclusion by ensuring affordable credit for small businesses, farmers, and low-income individuals. Banks have been advised to follow fair pricing policies and maintain transparency in their lending practices to support the government’s vision of inclusive economic growth.
