New banks get base rate flexibility

Updated: Sep 3 2013, 11:11am hrs
The RBI has allowed banks that commenced operations after July 2010 some flexibility in the computation and revision of base rates. Banks that have started operations after July 2010 but have not completed a year of banking operations will be allowed to revise their base rate methodology within a year from the date of commencement of their business operations in India.

Banks that will commence their banking business in India after issue of this circular will be allowed to revise their base rate methodology within a year from the date of commencement of their banking business in India, the RBI added.