RPCD.No.RF.BC. 37/07.02.05/2002-03 October 29, 2002
Kartika 07, 1924(Saka) All Regional Rural Banks Dear Sir, Please refer to our circular RPCD.No.RF.BC13/07.02.05/2002-03 dated September 7, 2002 advising that SLR deposits of the Regional Rural Banks (RRBs) maturing beyond March 31, 2003 may be allowed to be retained with sponsor banks till they mature and on maturity these deposits may be converted into Government securities. 2. In this connection, it is clarified that the SLR deposits may be converted into government securities on maturity, in case the concerned RRBs have not achieved the 25 per cent minimum level of SLR in Government securities by that time. 3.Although deposits with sponsor banks contracted before April 30, 2002 would be reckoned for SLR purpose till maturity, you are advised to achieve the target of maintaining 25 per cent SLR in Government securities out of the maturity proceeds of such deposits with sponsor banks as well as from your incremental public deposits at the earliest. 4.You are advised to place the contents of this circular before your Board and also acknowledge its receipt to our concerned Regional Office. Yours faithfully, Sd/- (A.V. Sardesai)
Chief General Manager-in-Charge | |