A- A A+
Last Updated : Sep 16 2019 11:09PM     Screen Reader Access
News Highlights
India condemns drone attacks on oil facilities in Saudi Arabia            SC asks Centre, J&K administration to restore normalcy in Valley            Centre to give support of Rs 8,500 crore to ECGC: Piyush Goyal            India, Slovenia sign seven agreements and MoUs in various fields            Railways enter quarts of Senior Women’s National Football C'ship           

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 (Sep) Midday News 16 (Sep) News at Nine 16 (Sep) Hourly 16 (Sep) (2300hrs)
समाचार प्रभात 16 (Sep) दोपहर समाचार 16 (Sep) समाचार संध्या 16 (Sep) प्रति घंटा समाचार 16 (Sep) (2305hrs)
Khabarnama (Mor) 16 (Sep) Khabrein(Day) 15 (Sep) Khabrein(Eve) 15 (Sep)
Aaj Savere 16 (Sep) Parikrama 16 (Sep)

Listen Programs

Market Mantra 16 (Sep) Samayki 16 (Sep) Sports Scan 16 (Sep) Spotlight/News Analysis 16 (Sep) Samachar Darshan 15 (Sep) Radio Newsreel 16 (Sep)
    Public Speak

    Country wide 5 (Sep) Surkhiyon Mein 5 (Sep) Charcha Ka Vishai Ha 11 (Sep) Vaad-Samvaad 3 (Sep) Money Talk 3 (Sep) Current Affairs 13 (Sep)