All Banks/DFIs

Dear Sirs/Madam,

PRUDENTIAL REGULATIONS

Please refer to the Prudential Regulations issued vide BPD circular No 35 of 2003.

2. The following amendment may be noted in respect of Regulation R-3 (Para 2) and Regulation R-8 (Para3) of Prudential Regulations for Corporate and Commercial Banking and Prudential Regulations for SMEs respectively;

“The banks/DFIs may also accept copy of financial statements audited by a practicing Cost and Management Accountant in case of a borrower other than a public company or a private company which is a subsidiary of a public company“

3. Other instructions on the subject will, however, remain unchanged.

4. Please acknowledge receipt