The impact of the decision to reduce the repo rate of the Reserve Bank of India has begun within a few hours. In fact, the Monitoring Policy Meeting of the RBI has been going on for the last three days, with a decision to reduce interest rates. Following the meeting this morning at 10 am, RBI Governor Sanjay Malhotra ordered the repo rate to be reduced by 0.25%, the impact of BOI and UCO Bank appeared in the evening.
Within a few hours of the repo rate reduction, the public sector Bank of India and UCO Bank on Wednesday announced a 0.25 percent reduction in lending rates. The decision of this public sector banks will benefit their current and new types of debts.
Similar advertisements are expected from other banks soon. In different information provided by the Bank of India and UCO Bank to the stock market, this amendment to the loan rate has been made after the RBI RBI (RBI) reduced the short-term loan rate (repo rate).
After the decline, the new repo -based lending rate (RBLR) of the Bank of India has dropped from the previous 9.10 percent to 8.85 percent. The bank announced that the new rates would be implemented from Wednesday. Meanwhile, UCO Bank said it had reduced the repo linked rate to 8.5 percent. The new rate will be implemented from Thursday. Earlier, the RBI announced the main policy rate repo to reduce 0.25 percent to 6.0 percent.
The impact of the reduction in the repo rate by the RBI will be seen on the customers taking a direct loan. In fact, the RBI gives loans to all national banks and private banks, the rate at which this loan is given is called a repo rate. Due to this reduction, banks get cheaper loans and they transfer this benefit to customers. In this case, many other banks may also reduce interest rates.
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