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RBI forms panel to review BPLR system

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  • The RBI panel will also review the administered lending rates for small loans up to Rs 2 lakh and for exporters. The working group would consult all the stakeholders and submit its report by end-August 2009, the Reserve Bank said.

    The agenda

    Concept of BPLR and manner of computation

    Extent of sub-BPLR lending

    Wide divergence in BPLRs of major banks

    Appropriate loan pricing system based on international best practices

    Administered lending rates for small loans up to Rs 2 lakh and for exporters

    Suitable benchmark for floating rate loans in the retail segment

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