Interest Rates on FCNR(B) Deposits - ആർബിഐ - Reserve Bank of India
Interest Rates on FCNR(B) Deposits
RBI/2011-12/565 May 17, 2012 The Chief Executive Officers Dear Sir/Madam, Interest Rates on FCNR(B) Deposits Please refer to our circular No. UBD.BPD.AD.CIR.No. 4/13.01.000/2011-12 dated November 24, 2011 on Interest Rates on Deposits held in FCNR(B) Accounts. In view of the prevailing market conditions, it has been decided that until further notice and with effect from the close of business in India as on May 4, 2012, the interest rates on FCNR(B) Deposits will be as under:
On floating rate deposits, interest shall be paid within the ceiling of swap rates for the respective currency/maturity plus 200 bps/300 bps as the case may be. For floating rate deposits, the interest reset period shall be six months. 2. Foreign currency loans out of FCNR(B) deposits may be given as Pre-shipment Credit in Foreign Currency (PCFC)/ Rediscounting of Export Bills Abroad (EBR) to exporters and other entities (including exporters who desire to avail of foreign currency term loans for creating export capability) having a natural hedge or entities having a risk management policy for managing the exchange risk. 3. All other instructions in this regard, as amended from time to time, will remain unchanged. 4. An amending directive UBD.BPD.DIR.No. 8/13.01.000/2011-12 dated May 17, 2012 is enclosed. Yours faithfully, (A.Udgata) Encl: As above. UBD.BPD.DIR.No. 8/13.01.000/2011-12 May 17, 2012 Interest Rates on FCNR(B) Deposits In exercise of the powers conferred by Section 35A read with Section 56 of the Banking Regulation Act, 1949, and in modification of the directive UBD.BPD.DIR.No.3/13.01.000/2011-12 dated November 23, 2011 on Interest Rates on FCNR(B) Deposits, the Reserve Bank of India being satisfied that it is necessary and expedient in the public interest so to do, hereby directs that with effect from the close of business in India as on May 4, 2012 the interest rates on FCNR(B) deposits shall be as under:
On floating rate deposits, interest shall be paid within the ceiling of swap rates for the respective currency/maturity plus 200 bps/300 bps as the case may be. For floating rate deposits, the interest reset period shall be six months. (S. Karuppasamy) |