RBI/2007-2008/54
DBOD No. BP. BC.15 / 21.04.141/2006-07

July 2, 2007

All Commercial Banks
(excluding RRBs)

Dear Sir,

Master Circular Prudential norms for classification,
valuation and operation of investment portfolio by banks

1. Please refer to the Master Circular No. DBOD. BP. BC.14 / 21.04.141/ 2006-07 dated July 1, 2006 consolidating instructions/guidelines issued to banks till June 30, 2006 on matters relating to prudential norms for classification, valuation and operation of investment portfolio by banks. The Master Circular has been suitably updated by incorporating instructions issued up to June 30, 2007 and has also been placed on the RBI web-site (http://www.rbi.org.in).
   
   
2. We advise that this revised Master Circular consolidates the instructions contained in the circulars issued by the RBI, as listed in Appendix.

Yours faithfully,
(Prashant Saran)
Chief General Manager-in-Charge