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79072947

Temporary liquidity support for financing agricultural operations

RBI/2008-09/308
RPCD.PLFS.No. BC. 73 /05.04.02/2008-09

December  5, 2008

The Chairmen/Chief Executives of
all Scheduled  Banks / NABARD

Dear Sirs,

Temporary liquidity support for financing agricultural operations

Please refer to our circulars RPCD.PLFS.No.BC.45 /05.04.02/2008-09 dated October 15, 2008, and RPCD.PLFS. No. BC. 60 /05.04.02/2008-09 dated November 3, 2008, on the captioned subject.

2. Reserve Bank has since modified the facility of temporary liquidity support for financing agricultural operations, as mentioned therein as under:

a) The limits of the liquidity support availed by scheduled banks under Section 17 (3-B) of RBI Act 1934 and  by NABARD under Section 17 (4-E) of RBI Act 1934 has been revised to Rs. 7500 crore and Rs. 2500 crore respectively with effect from December 6, 2008.

b) The facility has been extended for a period up to December 15, 2008.

3. All other conditions of the above circulars remain unchanged.

Yours faithfully,

(G. Srinivasan)
Chief General Manager – in - Charge

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