Strengthening RBI policy, separate liquidity window for hotels, transport and tourism
The central bank has created a separate liquidity window of Rs 15,000 crore and offers incentives to banks lending to “contact incentive sectors”.
Travel agents, private bus operators, car rental service providers, spa clinics and beauty salons can borrow funds under this facility for three years at the board rate.
The RBI on Friday kept the repo rate at 4% per annum.
Banks, on the other hand, can park their excess liquidity up to the size of the loan portfolio created under this scheme with the RBI and earn 40 basis points more than they normally do through the window. reverse repurchase agreement.
“We are always ready to lend. We are eagerly looking to deploy our excess funds. But the trigger must come on the demand side,” said a senior bank official, reacting to the announcement of the policy.
This reception liquidity window will remain open until March 31, 2022, said RBI Governor Shaktikanta Das.
The central bank announced new liquidity support of Rs 16,000 crore for the Small Industries Development Bank of India for on-lending or refinancing of micro, small and medium enterprises (MSMEs), in particular small MSMEs and other businesses , including those with weak and ambitious credit. districts.
This is beyond the financial support of Rs 15,000 crore to Sidbi announced in the April policy.
This new facility will be available at the policy’s pension rate in effect for a period of up to one year.