UBD(PCB) No/ 4 /12.03.000/2006-07
March
01, 2007
NOTIFICATION
It
has been decided to withdraw the notification UBD (PCB) No. 13276 / 16.26.000/
2005-2006 dated June 22, 2006 with immediate effect. In exercise of the powers
conferred by sub-section (7) of Section 42 of the Reserve Bank of India Act, 1934,
the Reserve Bank of India has however, decided to continue to exempt every Scheduled
Primary (Urban) Co-operative Bank from the maintenance of Cash Reserve Ratio (CRR)
on the following liabilities with effect from June 22, 2006:
(i)
Liabilities to the banking system in India as computed under Clause (d) of the
explanation to sub-section (1) of Section 42 of the RBI Act, 1934 and
(ii)
Transactions in Collateralized Borrowing and Lending Obligation (CBLO) with Clearing
Corporation of India Ltd.(CCIL)
The
effective CRR maintained by Scheduled Primary (Urban) Co-operative Banks on total
demand and time liabilities shall however, not be less than 3 per cent of the
total demand and time liabilities.
(V.S
Das)
Executive Director