Home / Knowledge / News / Textiles / RBI releases extra money for lending by lowering bank SLR
RBI releases extra money for lending by lowering bank SLR
06
Aug '14
The apex bank of India – Reserve Bank of India (RBI) has on Tuesday lowered the statutory liquidity ratio (SLR) of banks, by half a percentage point to 22.0 percent of deposits. This move is expected to free thousands of crores of rupees for lending in the banking system.

“This will come in to effect from August 9”, a RBI press release said.

As widely expected, RBI kept its key policy repo rate unchanged, but committed to bringing down inflation to 6 percent by January 2016.

RBI Governor Raghuram Rajan however admitted that though the higher liquidity in the banking system may not bring lending rates down in the short term, the lowering of SLR would ensure that banks have money to lend when credit demand picks up.

Raghuram Rajan did not change the cash reserve ratio (CRR) of scheduled banks at 4% of bank deposits and also kept the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 8%.

Raghuram Rajan said the pressure was to meet both inflation targets for 2015 and 2016. He said, “We are close to the time, when our first target has to be met and alongside we also need to also be confident in reaching the 6 percent target."

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 29th Apr 2017

Textile sector may have uniform GST rate: Irani

The textile sector could have a uniform Goods and Services Tax (GST)...

Textiles | On 30th Apr 2017

Government revamping tech mission on cotton

Indian Government is working to revamp the technology mission on...

Apparel/Garments | On 30th Apr 2017

Columbia Sportswear records Q1 net sales of $543.8 mn

Columbia Sportswear Company has announced record net sales of $543.8...

Interviews View All

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X