Reserve Bank of India hikes threshold for bulk fixed deposit to Rs 3 crore from Rs 2 crore for better asset liability management

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Key Points

The Reserve Bank of India (RBI) on Friday hiked the threshold for bulk fixed deposits to Rs 3 crore from existing Rs 2 crore with a view to improve asset liability management of banks...

Bulk fixed deposits earn slightly higher interest rate than retail term deposits as banks offer different rates as part of their liquidity management exercise...

On a review of the bulk deposit limit, it is proposed to revise the definition of bulk deposits as single Rupee term deposit of Rs 3 crore and above for SCBs (excluding RRBs) and SFBs, RBI Governor Shaktikanta Das said while announcing the bi-monthly policy...

So we dont expect any systemic impact on account of this change, Swaminathan said.. To promote ease of doing business, RBI has proposed to rationalise guidelines for export and import of goods and services under Foreign Exchange Management Act (FEMA), 1999...

Draft guidelines will be issued shortly for stakeholder feedback, he said.. With regard to deepening of digital payment, Das said it is proposed to establish a digital payments intelligence platform for network level intelligence and real-time data sharing across the digital payments ecosystem...

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