Extended application of the Key Fact Statement requirement to all retail and MSME loans

Extended application of the Key Fact Statement requirement to all retail and MSME loans

Extended application of the Key Fact Statement requirement to all retail and MSME loans

According to Das, this action will improve customer operations and promote transparency.

Since banks would need time to get ready, the circular will be released separately, according to Das.

According to Governor Das, the key fact statement criteria for all retail and medium-sized small and micro business (MSME) loans have been strengthened by the Reserve Bank of India (RBI).

"The RBI has ordered that certain types of lenders provide borrowers vital fact sheets that include information on all transaction fees and interest. Key fact statements are now required for all retail and MSME loans, according to Das.

According to Das, this action will improve customer operations and promote transparency.

"As banks will require time to prepare, the circular will be issued separately," Das said.

The Reserve Bank of India's Monetary Policy Committee has opted to maintain the policy repo rate at 6.5%.

At its last meeting of FY24, the six-member Monetary Policy Committee agreed by a majority of five to one to maintain the repo rate at 6.50 percent as long as retail inflation stays above its objective of four percent.

Five of the six members of the MPC voted in favor of concentrating on the housing recovery in order to gradually bring inflation closer to the objective while promoting growth.