Power of Reserve Bank to make regulations
Section 38 of the Payment and Settlement Systems Act, 2007 deals with power of Reserve Bank to make regulations. The Reserve Bank may, by notification, make regulations consistent with this Act to carry out the provisions of this Act. The Act came into force on 12 Aug 2008.
(1) The Reserve Bank may, by notification, make regulations consistent with this Act to carry out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing provision, such regulations may provide for all or any of the following matters, namely:--
(a) the powers and functions of the 1[Board referred to in sub-section (2)], the time and venue of its meetings and the procedure to be followed by it at its meetings (including the quorum at such meetings) under sub-section (4) of section 3;
(b) the form and manner in which an application for authorisation for commencing or carrying on a payment system shall be made and the fees which shall accompany such application under subsection (2) of section 5;
(c) the form in which an authorisation to operate a payment system under this Act shall be issued under sub-section (2) of section 7;
(d) the format of payment instructions and other matters relating to determination of standards to be complied with by the payment systems under sub-section (1) of section 10;
(e) the intervals, at which and the form and manner in which the information or returns required by the Reserve Bank shall be furnished under section 12;
(f) such other matters as are required to be, or may be, prescribed.
(2) Any regulation made under this section shall have effect from such earlier or later date (nor earlier than the date of commencement of this Act) as may be specified in the regulation.
(3) Every regulation shall, as soon as may be after it is made by the Reserve Bank, be forwarded to the Central Government and that Central Government shall cause a copy of the same to be laid before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the regulation, or both Houses agree that the regulation should not be made, the regulation shall, thereafter, have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that regulation.
Section 38, The Payment and Settlement Systems Act, 2007 (Act 51 of 2007).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Made under this section, and citing it
1 instrument states that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Questions about Section 38
What does Section 38 of the Payment and Settlement Systems Act deal with?
Section 38 of the Payment and Settlement Systems Act is headed "Power of Reserve Bank to make regulations". The Reserve Bank may, by notification, make regulations consistent with this Act to carry out the provisions of this Act.
How do I find court cases under Section 38 of the Payment and Settlement Systems Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Payment and Settlement Systems Act 38, section 38 Payment and Settlement Systems Act, section 38 of the Payment and Settlement Systems Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
What should I read with Section 38 of the Payment and Settlement Systems Act, and has it changed?
Its own text turns on section 3 (Designated authority), section 5 (Application for authorisation), section 7 (Issue or refusal of authorisation), section 10 (Power to determine standards), and on 1 further provision, so none of them can safely be read on its own. The rules and notifications made under it are where it actually bites, and there is one: most recently The Payment and Settlement Systems Regulations, 2008 (2008).
When did Section 38 of the Payment and Settlement Systems Act come into force?
Section 38 of the Payment and Settlement Systems Act, cited as Payment and Settlement Systems Act 38, came into force on 12 Aug 2008, having been enacted on 20 Dec 2007. It is in force as at the date shown on this page.
Other sections of this Act
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 16 Oct 2026. This page is not a substitute for legal advice.