RBI/2013-2014/469
UBD.BPD.(PCB).Cir.No.46/16.11.00/2013-14
January 28, 2014
The Chief Executive Officer
All Primary (Urban) Co-operative Banks
Madam / Dear Sir,
Revision in Bank Rate
Please refer to our circular UBD.BPD.(PCB).Cir. No. 33 /16.11.00/2013-14 dated October 29, 2013 on the captioned subject.
2. As announced in the Third Quarter Review of Monetary Policy Statement for 2013-14 dated January 28, 2014, the Bank Rate stands adjusted by 25 basis points from 8.75 per cent to 9.0 per cent with effect from January 28, 2014.
3. All penal interest rates on shortfall in reserve requirements, which are specifically linked to the Bank Rate, also stand revised as indicated in the Annex. The interest rate on refinance for SSI under Section 17(2)(bb) read with Section 17(4)(c) of the Reserve Bank of India Act, 1934, also stands revised to 9.0 per cent with effect from January 28, 2014.
Yours faithfully,
(A.K.Bera)
Principal Chief General Manager
Encl: Annex
Annex
Penal Interest Rates which are linked to the Bank Rate
Item |
Existing Rate |
Revised Rate
(Effective from January 28, 2014) |
Penal interest rates on shortfalls in reserve requirements (depending on duration of shortfalls). |
Bank Rate plus 3.0 percentage points (11.75 per cent) or Bank Rate plus 5.0 percentage points (13.75 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). |
|
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