1. Payment of Interest

Reserve Bank had specified that the rate of interest payable by banks to the depositors/claimants on the unclaimed interest bearing deposit amount transferred to the DEA Fund shall be 4% simple interest p.a.until further notice.

The rate of interest has since been reviewed and it has been decided that the rate of interest payable by banks to the depositors/claimants on the unclaimed interest bearing deposit amount transferred to the Fund shall be 3.5% simple interest per annum with effect from July 01, 2018. The settlement of all claims received by the banks on or after July 01, 2018 will be at this rate, until further notice.

  1. Marginal Standing Facility

it has been decided by the Monetary Policy Committee (MPC) to increase the policy Repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points from 6.0 per cent to 6.25 per cent with immediate effect.

  1. Consequent to the change in the Repo rate, the Marginal Standing Facility (MSF) rate stands adjusted to 6.50 per centwith immediate effect.
  1. Liquidity Adjustment Facility – Repo and Reverse Repo Rates

As announced by the Monetary Policy Committee (MPC) to increase the policy Repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points from 6.0 per cent to 6.25 per cent with immediate effect.

Consequent to the change in the Repo rate, the Reverse Repo rate under the LAF stands adjusted to 6.00 per cent with immediate effect.

  1. Change in Bank Rate

As announced the Bank Rate stands adjusted by 25 basis points from 6.25 per cent to 6.50 per cent with effect from June 06, 2018.

All penal interest rates on shortfall in reserve requirements, which are specifically linked to the Bank Rate, also stand revised as FOLLOW

4+
SHARE
Previous articleIndependent Director – coercion or salubrious
Next articleNegative List under GST : Schedule III
Yogesh Parmar have vast knowledge in the field of Goods and Services Tax (GST). He is regularly conducting seminars on GST at various location for business personal to provide the knowledge about impact of GST on their business and how compliance should be made. He is founder of "www.etaxupdates.com" through which he is sharing his knowledge and latest amendments, circulars, notifications etc related to all type of taxes. He is also associated with some software development companies and providing advisory service and help to understand technical aspect of GST. He is also serving as functional manager as well as tester to those company which is developing software for GST.

LEAVE A REPLY

Please enter your comment!
Please enter your name here