RBI/2007-2008/293
Ref: UBD (PCB).No./4 /12.03.000/2007-08

April 22, 2008

The Chief Executive Officers of
All Scheduled Primary (Urban) Co-operative Banks

Dear Sir,

Section 42(1) of Reserve Bank of India Act, 1934-
Maintenance of Cash Reserve Ratio (CRR)

Please refer to our Circular RBI 2007-2008/177 UBD (PCB) Cir. No.3/12.03.000/2007-08 dated November 01, 2007 on the captioned subject.  On a review of the current liquidity situation, it has been decided to increase the Cash Reserve Ratio (CRR) of   Scheduled Primary (Urban) Co-operative Banks by one half of one percentage point of their Net Demand and Time Liabilities in two stages, effective from the  fortnights as indicated below:

2. A copy of the relevant notification UBD (PCB) No./11/12.03.000/2007-08 dated April 22, 2008 is enclosed.

3.  Please acknowledge receipt.

Yours faithfully,

(A.K.Khound)
Chief General Manager in-Charge

UBD(PCB)No/ 11 /12.03.000/2007-08

April 22, 2008

NOTIFICATION

In exercise of the powers conferred under the Sub-section (1) of Section 42 of the Reserve Bank of India Act, 1934, and in partial modification of its notification UBD(PCB)No.10/12.03.000/2007-08 dated November 01, 2007, the Reserve Bank of India hereby notifies that the average Cash Reserve Ratio (CRR) required to be maintained by every Scheduled Primary (Urban) Co-operative Bank  shall, from effective dates mentioned below, be at the percentage points as indicated thereagainst.

(V.S.Das)
Executive Director