What changed
The Bank Rate has been revised downwards by 50 basis points from 6.25% to 5.75%. Penal interest rates on shortfalls in CRR and SLR requirements linked to the Bank Rate have also been revised. The revised penal interest rates are Bank Rate plus 3.0 percentage points or Bank Rate plus 5.0 percentage points.
What it means for you
The Bank Rate has been reduced by 50 basis points to 5.75%, and penal interest rates on CRR and SLR shortfalls linked to the Bank Rate have been revised accordingly.
What you must do
- Note the revised Bank Rate and penal interest rates as per RBI circular.
Who it affects
All banks
What is the new Bank Rate?
The new Bank Rate is 5.75%.
How are penal interest rates affected?
Penal interest rates linked to the Bank Rate have been revised to Bank Rate plus 3.0 percentage points or Bank Rate plus 5.0 percentage points.