May 8, 2001

REF : No.MPD.3173/03.09.01/2000-01

All-India Financial Institutions
and Selected Mutual Funds

Dear Sir

Participation in Call/Notice Money Market
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Please refer to our circular No.2991/03.09.01/2000-01 dated April 21, 2001.

2. It is clarified that with effect from May 5, 2001, lendings by non-bank participants in call/notice money market would be monitored against their respective limits in stage I, on product basis during the reporting fortnight corresponding to scheduled commercial banks. Accordingly, lending in call/notice money market during the reporting fortnight by any non-bank entity should not exceed, on average, 85 per cent of its daily average lending during the year 2000-01, during stage I.

Kindly acknowledge the receipt.

Yours faithfully

(K. Kanagasabapathy)
Adviser-in-Charge