A- A A+
Last Updated : Oct 22 2019 9:41AM     Screen Reader Access
News Highlights
Polling concludes peacefully for assembly elections of Maharashtra and Haryana            India stands for three Ds - Democracy, Demography and Dimaag: PM Modi            DAC approves procurement of indigenous equipment worth over Rs 3,300 cr for armed forces            India-Bangladesh Stakeholders’ Meet begins in Guwahati today            Ranchi Test: India close to series sweep against South Africa           

Business News

Dec 06, 2018
6:45AM

RBI proposes new method to benchmark floating rate of loans for MSMEs

File Pic :PTI
In a bid to ensure greater transparency, Reserve Bank has proposed that floating interest rates on personal, home, auto and MSMEs loans be linked to external benchmarks like repo rate or treasury yields. In a statement issued from Mumbai yesterday, RBI said that the final guidelines to link the interest rate to external benchmarks will be issued by the end of this month. 

Currently, banks follow system of internal benchmarks, including Prime Lending Rate, Benchmark Prime Lending Rate, Base rate and Marginal Cost of Funds based Lending Rate. The new system is likely to become operational by 1st April 2019. 


RBI has said that the banks should decide the benchmark rate system to be followed right at the inception of the loan and it should remain unchanged through the life of the loan. It added that adoption of multiple benchmarks by the same bank will not be allowed within a loan category. 

Live Twitter Feed

Listen News

Morning News 22 (Oct) Midday News 21 (Oct) News at Nine 21 (Oct) Hourly 22 (Oct) (0905hrs)
समाचार प्रभात 22 (Oct) दोपहर समाचार 21 (Oct) समाचार संध्या 21 (Oct) प्रति घंटा समाचार 22 (Oct) (0900hrs)
Khabarnama (Mor) 22 (Oct) Khabrein(Day) 21 (Oct) Khabrein(Eve) 21 (Oct)
Aaj Savere 22 (Oct) Parikrama 21 (Oct)

Listen Programs

Market Mantra 21 (Oct) Samayki 21 (Oct) Sports Scan 21 (Oct) Spotlight/News Analysis 21 (Oct) Samachar Darshan 20 (Oct) Radio Newsreel 21 (Oct)
    Public Speak

    Country wide 17 (Oct) Surkhiyon Mein 17 (Oct) Charcha Ka Vishai Ha 16 (Oct) Vaad-Samvaad 15 (Oct) Money Talk 15 (Oct) Current Affairs 18 (Oct)