Knowledge & News Network (KNN)Nov 26, 2021Banks may lend to MSMEs at higher rate if RBI raises Reverse Repo rateNew Delhi, 24 Nov (KNN) It is reported that the Reserve Bank of India (RBI) may increase the reverse repo rate by a token 20-25 basis points during its next monetary policy meeting.Reserve repo rate is a rate at which the Central Bank borrows from the commercial banks, and it is used to control the money supply.Currently, the rate is at 3.35 per cent, and if it is increased then commercial banks will be interested in investing more with RBI, the apex bank than lending money in the market of which MSME is a part of.Read more at Knowledge & News Network (KNN)
New Delhi, 24 Nov (KNN) It is reported that the Reserve Bank of India (RBI) may increase the reverse repo rate by a token 20-25 basis points during its next monetary policy meeting.Reserve repo rate is a rate at which the Central Bank borrows from the commercial banks, and it is used to control the money supply.Currently, the rate is at 3.35 per cent, and if it is increased then commercial banks will be interested in investing more with RBI, the apex bank than lending money in the market of which MSME is a part of.Read more at Knowledge & News Network (KNN)
