Unhappy with the pace of transmission of interest rate cuts, the Reserve Bank of India plans to direct banks to start providing loans linked to an external benchmark like the repo (rate at which the RBI lends money to banks). RBI governor Shaktikanta Das said that some banks have already announced their intent to link lending rates to an external benchmark.
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Borrowers to gain as RBI to tell banks to link loans with repo rate
Borrowers to gain as RBI to tell banks to link loans with repo rate
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