|
RBI/2005-06/374
Ref. No. MPD.BC.280/07.01.279/2005-06
April 24, 2006
Vaishakha 4, 1928 (Saka)
To
All Scheduled Commercial Banks
Dear Sir/ Madam,
Interest Rate Ceiling on Rupee Export Credit
At present, the ceiling on interest rates on
pre-shipment rupee export credit up to 180 days and post-shipment rupee export
credit up to 90 days is stipulated at BPLR minus 2.5 per cent. This dispensation
is valid up to April 30, 2006.
2. It has been decided to extend the validity
of the above dispensation up to October 31, 2006 (Annex).
3. Kindly acknowledge receipt.
Yours faithfully,
(M.D. Patra)
Adviser-in-Charge
Annex
|
Category
|
With effect from May 1, 2006
( up to October 31, 2006)
|
|
Pre-shipment Rupee Export Credit
i. Up to 180 days
|
Not exceeding BPLR minus 2.5 percentage points.
|
|
Post-shipment Rupee Export Credit
(a) On demand bills for transit period
(as specified by FEDAI)
(b) Usance bills up to 90 days
|
Not exceeding BPLR minus 2.5 percentage points
Not exceeding BPLR minus 2.5 percentage points
|
BPLR: Benchmark Prime Lending Rate
Note:
1. Since these are ceiling rates, banks would be free to charge any rate below
the ceiling rates.
2. Interest rates for the above-mentioned categories beyond
the tenors as prescribed above are free.
|