‘RBI has left it to the banks…’: Governor Sanjay Malhotra on ICICI Bank’s minimum balance requirement for savings accounts

RBI Governor Sanjay Malhotra clarified that banks, not the RBI, decide minimum balance requirements. His remarks follow ICICI Bank’s hike for new savings accounts (post-Aug 1) to ₹50,000, up from ₹10,000. Semi-urban and rural branches now require ₹25,000 and ₹10,000, respectively. Malhotra noted wide variation across banks, with some waiving balances entirely, particularly public sector and Jan Dhan accounts, which often exempt customers from penalties.