Friday, 24 June 2016

Current RBI Bank Rates in Indian Banking - 2016

Welcome to this page Latest Important Policy Rates in Indian Banking - 2016 or Current RBI Bank Rates in Indian Banking - 2016

All competitive candidates will check current Bank Rates, Repo Rate (RR), Reverse Repo Rate (RRR), Cash Reserve Ratio (CRR), Statutory Liquidity Ratio (SLR) and Marginal Standing Facility (MSF). As most of the candidates know that One or two questions are asked in IBPS all exams including PO, RRB and Clerk etc. and SBI PO/SBI Clerk and other bank exams in India. For giving the answer to these questions, a candidates must be aware of the RBI Rates like CRR, RR, SLR, MSF, Bank Rate, RRR etc. So candidates should know current rates of the banks if they want to score higher.

Current Bank Rate, RR, RRR, CRR, SLR and MSF

SLR RateCRRMSFRepo RateReverse Repo RateBase Rate
21.25%4%7%6.5%6%9.3% - 9.7%
So here we are providing you updated information on Current Bank Rates. These questions are very important if you want to qualify any bank exam as one or mostly two questions are asked in these exams on rate. So by visiting this page, you will stay updated with RBI Rates and increase your marks.

Any candidate who just give a glimpse to the below given rates before the exam will increase their score by a few mark(s). Just remembering the current value of these will let them perform better.
RBI new rates currently effective from 05.04.2016.
Here are the Current Bank Rates:
RBI Bank Rates NameImportant DescriptionCurrent policy and Reserve Rate:
Bank RateBank rate is the rate of interest which is levied on Long Term loans and Advances taken by commercial banks from RBI. Changes in the bank rate are often used by central banks to control the money supply.7.00%
Cash Reserve Ratio (CRRCash reserve Ratio (CRR) is the amount of cash funds that the banks have to maintain with RBI. If RBI decides to increase the percent of this, the available amount with the banks comes down. RBI is using this method (increase of CRR rate), to drain out the excessive money from the banks.4.00%
Statutory Liquidity Ratio (SLR) RateSLR (Statutory Liquidity Ratio) is the amount a commercial bank needs to maintain in  the form of cash, or gold or government approved securities (Bonds) before providing credit to its customers. SLR is determined and maintained by the RBI in order to control the expansion of bank credit. SLR is determined as the percentage of total demand and time liabilities. Time Liabilities are the liabilities a commercial bank is liable to pay to the customers after a specific time period. SLR is used to control inflation and proper growth. Through SLR tuning, the money supply in the system can be controlled efficiently.21.50%
Repo RateRepo rate is the rate of interest which is levied on Short-Term loans taken by commercial banks from RBI. Whenever the banks have any shortage of funds they can borrow it from RBI. A reduction in the repo rate will help banks to get money at a cheaper rate. When the repo rate increases, borrowing from RBI becomes more expensive.6.50%
Reverse Repo Rate This is exact opposite of Repo rate. Reverse repo rate is the rate at which commercial banks charge on their surplus funds with RBI. RBI uses this tool when it feels there is too much money floating in the banking system. Banks are always happy to keep money with RBI since their money is in the safe hands with a good interest. An increase in Reverse repo rate can cause the banks to transfer more funds to RBI due to these attractive interest rates.6.00%
Marginal Standing Facility (MSF) RateMSF (Marginal Standing Facility Rate) is the rate at which banks can borrow overnight from RBI. This was introduced in the monetary policy of RBI for the year 2011-2012. Banks can borrow funds through MSF when there is a considerable shortfall of liquidity. This measure has been introduced by RBI to regulate short-term asset liability mismatches more effectively.7.00%


About Bank / RBI Rates Terms

Official website:- rbi.org.in.

Know about Recent Bank Rates :

Bank rate or discount rate is the rate of interest which a central bank charges on the loans and advances to a commercial bank.-
(News Last Update : 24th June 2016)



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