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Banks advised to link MSME loans to external benchmark by RBI: Govt
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Banks advised to link MSME loans to external benchmark by RBI: Govt
NEW DELHI, Dec 14: With a view to improve monetary policy transmission, banks have been advised by the Reserve Bank of India (RBI) to link loans to MSMEs to an external benchmark, the Government has informed Parliament. The reset clause for loans has been reduced to three months under the external benchmark system. Further, to make the benefit of external benchmark-based interest regime available to existing borrowers, banks have been advised…
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