Tuesday, October 25, 2011

RBI hike repo & reverse repo rates & deregulate saving a/c interest rate

As expected RBI has hiked repo & reverse repo rate to 8.5% and 7.5% repectively . RBI is still maintaining its stand that Interest rate need to be hiked for controlling inflation.

Good news is that Savings Bank interest rate has been de regulated . Bank can now fix interest rate for savings a/c which was till now same for all Banks @ 4% . Top time for PSU Banks who were enjoing cheaper fund

http://rbidocs.rbi.org.in/rdocs/Notification/PDFs/NRH251011FL.pdf

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