October 04, 2016
The Chairperson / CEOs of all Scheduled and Non-Scheduled Banks,
Change in Bank Rate
Please refer to circular DBR.No.Ret.BC.90/12.01.001/2015-16 dated April 05, 2016 on the captioned subject.
2. As announced in the Fourth Bi-Monthly Monetary Policy Statement 2016-17 dated October 04, 2016, the Bank Rate stands adjusted by 25 basis points from 7.00 per cent to 6.75 per cent with effect from October 04, 2016.
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.
Chief General Manager-In-Charge
Encl: As above.
Penal Interest Rates which are linked to the Bank Rate
|Item||Existing Rate||Revised Rate|
(Effective from October 04, 2016)
|Penal interest rates on shortfalls in reserve requirements (depending on duration on shortfalls).||Bank Rate plus 3.0 percentage points (10.00 per cent) or Bank Rate plus 5.0 percentage points (12.00 per cent)||Bank Rate plus 3.0 percentage points (9.75 per cent) or Bank Rate plus 5.0 percentage points (11.75 per cent)|