business rbi mulls sub 7 day term deposit

Rbi Mulls Sub-7 Day Term Deposit

20hrs 7mins   👁 11

The Reserve Bank of India is considering allowing banks to offer term deposits with tenures shorter than seven days, seeking feedback from banks amidst concerns over slowing deposit growth. While some banks see this as a way to boost liquidity and attract deposits, others worry about potential asset-liability mismatches and limited lending opportunities for such short-term funds.