RBI nudges banks to cut rates

RBI nudges banks to cut rates

BS Reporter / Mumbai January 30, 2008

Banks are expected to review their deposit and lending rates in April on prodding by the Reserve Bank of India (RBI) even as the monetary policy on Tuesday kept key policy rates unchanged owing to continuing inflation concerns.

In its quarterly review of monetary policy, RBI said banks have enough room to lower deposit and lending rates, given the fact that their net interest margins (NIMs) are