♦ The Reserve Bank of India (RBI) on 13 february 2026 released draft guidelines to revise the Lead Bank Scheme (LBS), aiming to streamline its operations and enhance its effectiveness in coordinating development activities at the district level. The scheme, introduced in 1969, seeks to improve credit flow to priority sectors while deepening financial inclusion across rural and semi-urban areas. Under the proposed guidelines, the structure, membership, and agenda of the various fora under LBS will be fine-tuned, with clear delineation of roles and responsibilities for key functionaries.

♦ The draft also focuses on strengthening State Level Bankers’ Committees (SLBCs) and Lead District Manager offices, ensuring better coordination among banks, government bodies, and other development agencies. 

♦ According to the RBI circular, a designated commercial bank in each district will serve as the Lead Bank, responsible for coordinating credit activities of financial institutions and stakeholders to promote inclusive growth.