Msme Loans

Canara, Corporation Bank, others introduce repo linked loan products to meet 1 October deadline

In 2019, the RBI reduced the repo or short-term lending rate by 110 basis points (bps), but the banks have reportedly passed on only up to 40 bps to borrowers

SBI to adopt repo rate as external benchmark for all floating rate loans from 1 October

State Bank of India on Monday said it will adopt repo rate as the external benchmark for all floating rate loans for MSME, home and retail loans, from 1 October, 2019

RBI mandate to link retail, MSME loans with external benchmark rates is credit negative for banks: Moody's

The RBI has so far this year cut interest rate by 110 basis points but lenders have transmitted only a part of it to borrowers in the form of a lower cost of taking loans.

Reserve Bank to hold further discussions with banks on linking home, auto loans with external benchmark

In December 2018, the RBI had proposed that floating interest rates on personal, home, auto and micro and small enterprises (MSEs) loans should be linked to external benchmarks

MSME sector presents an additional $70 bn lending opportunity to banks, says report

MSMEs account for over $55 billion of lending currently, there is still a huge gap that can be addressed by financial institutions in the near term

Banks yet to tag Rs 3.5 lakh crore stressed corporate loans as NPAs; NBFCs may witness margin pressures in FY20: Report

Jindal said banks may need an additional of Rs 40,000 crore in provisions for these Rs 1.5-2 lakh crore loans, which may slip into NPAs.

RBI keeps interest rate unchanged: Calibrated tightening stance will not have any impact; rate hike unlikely in near term, say analysts

The RBI opted to maintain for status quo in key policy rates

RBI maintains status quo: Central bank policy on expected lines; guidance 'pragmatic', say bankers

The RBI in its fifth bi-monthly monetary policy review kept the repo rate unchanged at 6.5 percent

Restructuring of MSME loans a 'step backwards', risks to manifest in 6-9 months: Fitch Ratings

The board of the Reserve Bank last week advised the RBI that it should consider a scheme for the restructuring of stressed assets of MSME borrowers with aggregate credit facilities of up to Rs 25 crore, subject to conditions necessary for ensuring financial stability.