What changed
This is an annual update of the master circular on relief measures for natural calamities, consolidating existing guidelines from the 2010-11 version. No new policy changes were introduced; it serves as a compilation for 2011-12.
What it means for you
Banks must maintain pre-approved action plans for disaster response, ensuring branches have clear standing instructions. They are expected to coordinate with district and state authorities via DCC and SLBC meetings to align credit assistance with government subsidies.
What you must do
- Ensure all branches in calamity-prone areas have standing instructions for immediate relief action post-disaster declaration.
- Convene DCC meetings promptly after a natural calamity to coordinate with district authorities.
- Participate in special SLBC meetings for large-scale calamities to formulate a coordinated relief plan.
- Publicize disaster management arrangements, including helpline numbers, for affected customers.
Who it affects
All scheduled commercial banks (excluding RRBs), Branches in areas prone to natural calamities, District Consultative Committees and State Level Bankers' Committees
What triggers the relief measures under this circular?
Relief measures are triggered by a formal declaration of natural calamity by district or state authorities, after which banks must activate their standing instructions.
How should banks coordinate with government agencies?
Banks must convene DCC meetings immediately after a calamity and, for state-wide events, special SLBC meetings to align credit assistance with state rehabilitation programmes and subsidies.