Assocham recommends cut in Bank Rate
By Our Banking Bureau | 15 Apr 2002
In a note submitted to the RBI, chamber president K K Nohria called for renewed efforts from the RBI to promote a term-money market that will act as a benchmark for various derivative products. Assocham held that the domestic money market has essentially remained an overnight call-money market.
The RBI needs to take steps to promote the corporate repo market segment. Corporates with excess short-term surpluses should be given an opportunity for short-term investments with reverse repo facility, the chamber said.