Presently, SFBs are required to allocate 75% of their Adjusted Net Bank Credit (ANBC) or Credit Equivalent of Off-Balance Sheet Exposures (CEOBE) to priority sectors. This included a mandatory 40% to specific PSL sub- sectors and a flexible 35% to sub-sectors where the bank had a competitive advantage. The new directive reduces the overall PSL target to 60% of ANBC or CEOBE, whichever is higher. Under this revised structure, SFBs will continue to allocate 40% to the mandated PSL sub- sectors, but the flexible component, which can be directed to one or more preferred sub-sectors, will now be reduced to 20%.