The Reserve Bank of India (RBI) has restored the definition of “indirect receipt of public funds” in its master directions for classifying upper-layer NBFCs. In a footnote added on Wednesday, effective July 1, 2026, the RBI reintroduced the definition of indirect receipt of public funds as “funds received not directly but through associates and group entities which have access to public funds”. The omission of this clause first mentioned in an April 29 circular had been taken interpreted by some observers as a partial relief to Tata Sons which has been opposing listing. But the reprieve has proved to be short-lived.