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Banks' Exposure to Capital Market -Loans extended by banks to MFs and Issue of IPCs

RBI/2009-10/514
DBOD.Dir.BC.116 /13.03.00/2009-10 

June 30, 2010

All Scheduled Commercial Banks
(excluding RRBs)

Dear Sir / Madam

Banks' Exposure to Capital Market –
Loans extended by banks to Mutual Funds and
Issue of Irrevocable Payment Commitments (IPCs)

Please refer to our circular No.DBOD.Dir.BC.66/13.03.00/2009-10 dated December 23, 2009, in terms of which the transition period allowed to banks to comply with the requirements contained in our circular No.DBOD.Dir.BC.57/13.03.00/2007-08 dated December 14, 2007, was extended up to June 30, 2010.  On a review, it has been decided to further extend the transition period by one month up to July 31, 2010.

Yours faithfully

(A.K.Khound)
Chief General Manager

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