Supervisory Data Quality Index Scores Decline for Small Finance Banks and Private Sector Banks

The Reserve Bank of India’s Supervisory Data Quality Index (SDQI) scores for small finance banks and private sector banks have dropped, according to the latest data released by the central bank. The SDQI score for small finance banks declined by 0.4 in March 2026 compared to December 2025, while the score for private sector banks fell by 0.3 during the same period.

In contrast, the SDQI score of public sector banks marginally declined by 0.3 in March 2026 as compared to December 2025. The overall decline in the SDQI scores is attributed to minor lapses in data quality and adherence to regulatory requirements.

The Reserve Bank of India (RBI) has been closely monitoring the SDQI scores as part of its efforts to maintain high standards of financial stability and integrity in the banking sector. The declining SDQI scores may raise concerns about the banks’ ability to provide accurate and reliable information, which is essential for informed decision-making by regulators and market participants.

The RBI’s data shows that while some banks have managed to improve their SDQI scores over time, others continue to struggle with maintaining high standards of data quality. The central bank will likely take a closer look at the performance of these banks and provide guidance on areas where improvements are needed.

Source: original report.