LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Business News » India News

RBI cuts SLR by 0.5 pc; frees Rs 57K cr for lending

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
Updated: Wed, Oct 04, 2017
04:19 pm
PTI
RELATED NEWS
Expert Views: BIG! India's retail inflation eases to 4.59% in December Expert Views: BIG! India's retail inflation eases to 4.59% in December
Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands
Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED
Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED    Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED
Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY! Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY!

The Reserve Bank today reduced the Statutory Liquidity Ratio (SLR), the portion of deposits held by banks in government securities, by 0.5 per cent to 19.5 per cent, freeing over Rs 57,000 crore to bank funds for lending.

"As a part of the transition to a Liquidity Coverage Ratio (LCR) of 100 per cent by January 1, 2019, it is proposed to reduce the SLR by 50 basis points from 20 per cent to 19.50 per cent of banks' net demand and time liabilities (NDTL) from the fortnight commencing October 14, 2017," it said.

According to bankers, it will not much of the difference as several banks are holding in excess of statutory requirement.

Following the announcement, stock of banks witnessed a surge on the stock market.

"The ceiling on SLR securities under 'Held to Maturity' (HTM) will also be reduced from 20.25 per cent to 19.50 per cent of banks' NDTL in a phased manner, i.e., 20.00 per cent by December 31, 2017 and 19.50 per cent by March 31, 2018," the statement on developmental and regulatory policies said.

RBI had last cut SLR in its June policy by 0.5 per cent to 20 per cent.

Coming down heavily on banks, RBI said, it is imperative to be sensitive to the requirements of senior citizens and differently abled persons notwithstanding the need to push digital transactions and use of ATMs.

It has been reported that banks are discouraging or turning away senior citizens and differently abled persons from availing banking facilities at branches, it said.

Banks have been instructed to put in place explicit mechanisms for meeting the needs of such persons so that they do not feel marginalised, it said.

"Ombudsmen will also be advised to pay heed to complaints in this context. Necessary instructions in this regard will be issued by end-October 2017," it said.

Noting that trading on electronic platforms is being encouraged across the world, it said, it enhances pricing transparency, processing efficiency and risk control.

It also enables better market surveillance and, therefore, discourages market abuse and unfair trading practices.

The Reserve Bank will soon put in place a framework for authorisation of electronic trading platforms (ETP) for financial market instruments regulated by the Reserve Bank.

"A draft framework will be placed on the website of the Reserve Bank for public feedback by end-October 2017," it said.

 

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Economy
RELATED NEWS
Expert Views: BIG! India's retail inflation eases to 4.59% in December Expert Views: BIG! India's retail inflation eases to 4.59% in December
Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands
Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED
Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED    Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED
Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY! Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY!

LATEST NEWS

New coronavirus shocker from China! Now, virus found in ice cream - Check eye opening details here

Looking for mid-range budget-friendly laptops? VAIO with Nexstgo launches new series - Prices, specs, features and all you need to know

WhatsApp new privacy policy to be rolled back? Petition reaches Supreme Court

Here is why ONGC's plan to merge MRPL with HPCL may have to wait till FY24

Petrol, diesel latest prices today: Check rates in your cities

Mivi Collar 2: Made In India! Only wireless earphone at this price point to offer Super Charging

Amazon.in Great Republic Day Sale: Up to 40% off! Check top deals you can avail

Big transportation boost! PM Narendra Modi flags off 8 trains facilitating seamless rail connectivity to Statue of Unity

Samsung Galaxy M62: Massive 7,000mAh battery - Check specs, features of the smartphone

Solid assurance! Modi government rises to the occasion in world war to defeat Covid-19; assures Nepal, other neighbours for vaccine

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved