RBI/2011-12/526
UBD.BPD.(PCB).Cir.No. 32/16.11.00/2011-12 April 26, 2012 The Chief Executive Officer
All Primary (Urban) Co-operative Banks Madam/Dear Sir, Bank Rate Please refer to our circular UBD.BPD.(PCB).Cir.No.26/16.11.00/2011-12 dated March 7, 2012 on the captioned subject. As announced in the Monetary Policy Statement 2012-13, the Bank Rate stands adjusted by 50 basis points from 9.50 per cent to 9.00 per cent with effect from April 17, 2012. 2. All penal interest rates on shortfall in reserve requirements, which are specifically linked to the Bank Rate, also stand revised as indicated in Annex. 3. Please acknowledge receipt. Yours faithfully, (A.Udgata)
Chief General Manager-in-Charge Encl: as above
Annex Penal Interest Rates which are linked to the Bank Rate Item | Existing Rate | Revised Rate
(Effective from April 17, 2012) | Penal interest rates on shortfalls in reserve requirements (depending on duration of shortfalls). | Bank Rate plus 3.0 percentage points (12.50 per cent) or Bank Rate plus 5.0 percentage points (14.50 per cent). | Bank Rate plus 3.0 percentage points (12.00 per cent) or Bank Rate plus 5.0 percentage points (14.00 per cent). | | |