A- A A+
Last Updated : Oct 16 2019 12:54PM     Screen Reader Access
News Highlights
India will not allow its share of water to flow to Pakistan, says PM Modi            J&K govt to set up 50 PCOs in each district of Kashmir division            Centre to advice all states to hold regular meetings with wholesalers, traders to check hoarding of essential food items            NGT asks UP, Haryana and Punjab to depute a person to report daily on stubble burning            Britain, Spain join other major powers in suspending military exports to Turkey           

Business News

Sep 04, 2019
9:03PM

RBI makes repo-linked interest rates mandatory

@RBI
The Reserve Bank of India has made it mandatory for banks to link all of their new loan products, be it personal, housing or auto to an external benchmark like the policy repo rate. 

Stating that transmission of policy rate benefits under the current framework has not been satisfactory, RBI today issued a circular saying that banks will have to link their products to an external benchmark with effect from 1st October 2019.

The circular informs that banks can also choose any benchmark market interest rate published by Financial Benchmarks India Private Limited - FBIL or the government’s 3-month and 6-month treasury bill yields published by FBIL as their preferred external benchmark.

This move is likely to cheer borrowers ahead of the festive season as banks will now be forced to pass the entire rate cut benefit announced by RBI in recent months and offer lower interest rates.

It may be recalled that in its December policy statement, RBI had announced its intention to make it mandatory for banks to link all new floating interest rate to an external benchmark.

 

Live Twitter Feed

Listen News

Morning News 16 (Oct) Midday News 15 (Oct) News at Nine 15 (Oct) Hourly 16 (Oct) (1200hrs)
समाचार प्रभात 16 (Oct) दोपहर समाचार 15 (Oct) समाचार संध्या 15 (Oct) प्रति घंटा समाचार 16 (Oct) (1205hrs)
Khabarnama (Mor) 16 (Oct) Khabrein(Day) 15 (Oct) Khabrein(Eve) 15 (Oct)
Aaj Savere 16 (Oct) Parikrama 15 (Oct)

Listen Programs

Market Mantra 15 (Oct) Samayki 15 (Oct) Sports Scan 15 (Oct) Spotlight/News Analysis 15 (Oct) Samachar Darshan 13 (Oct) Radio Newsreel 15 (Oct)
    Public Speak

    Country wide 10 (Oct) Surkhiyon Mein 10 (Oct) Charcha Ka Vishai Ha 9 (Oct) Vaad-Samvaad 15 (Oct) Money Talk 15 (Oct) Current Affairs 11 (Oct)