**Summary:**
This Reserve Bank of India (RBI) circular (RBI/2022-23/65 DOR.RET.REC.4412/01.001/2022-23) dated June 08, 2022, announces a revision in the Bank Rate. As stated in the Monetary Policy Statement 2022-23, the Bank Rate is increased by 50 basis points, from 4.65% to 5.15%, effective immediately. Consequently, all penal interest rates on shortfalls in reserve requirements that are specifically linked to the Bank Rate are also revised. The revised penal interest rates are Bank Rate plus 3.0 percentage points (8.15%) or Bank Rate plus 5.0 percentage points (10.15%) depending on the duration of the shortfalls. The circular is addressed to all banks. For further information, Shrimohan Yadav, Chief General Manager, Department of Regulation, Central Office, can be contacted at Tel No: 22601000 or Fax No: 022-2270 5670, 2260 5671, 2270 5691, 2260 5692, Central Office Building, Shaheed Bhagat Singh Marg, Mumbai – 400001.
Key Entities Referenced
RESERVE BANK OF INDIA: The central bank of India, responsible for monetary policy and regulation of the banking system.
Bank Rate: The interest rate at which the Reserve Bank of India is ready to buy or rediscount bills of exchange or other commercial paper. Revised upwards in this notification.
Monetary Policy Statement 202223: A statement released by the Reserve Bank of India outlining the monetary policy for the specified period.
Shrimohan Yadav: Chief General Manager at Reserve Bank of India
Mumbai, Maharashtra: City in India where the Central Office of the Department of Regulation, Reserve Bank of India is located.
DOR.RET.REC.3212.01.001202223: Reference number of a circular related to the Bank Rate, dated May 04, 2022.
Department of Regulation, Central Office: A department within the Reserve Bank of India.
Shaheed Bhagat Singh Marg: Location of Central Office Building, Mumbai
भारतीय �र ज़व� ब�क
RESERVE BANK OF INDIA
RBI/2022-23/65
DOR.RET.REC.44/12.01.001/2022-23 June 08, 2022
All Banks
Madam/Sir,
Change in Bank Rate
Please refer to our circular DOR.RET.REC.32/12.01.001/2022-23 dated May 04, 2022 on the
captioned subject.
2. As announced in the Monetary Policy Statement 2022-23 dated June 08, 2022, the Bank Rate is
revised upwards by 50 basis points from 4.65 per cent to 5.15 per cent with immediate effect.
3. All penal interest rates on shortfall in reserve requirements, which are specifically linked to the Bank
Rate, also stand revised as indicated in the Annex.
Yours faithfully,
(Shrimohan Yadav)
Chief General Manager
Encl.: As above
िविनयमन िवभाग, क�द्रीय काया�लय, 12वी ंऔर 13वी ंमंिज़ल, क�द्रीय काया�लय भवन, शहीद भगत िसंह माग�, मुंबई 400001
टेलीफोन /Tel No: 22601000 फै�/ Fax No: 022-2270 5670, 2260 5671, 5691 2270, 2260 5692
Department of Regulation, Central Office, 12th & 13th Floor, Central Office Building, Shaheed Bhagat Singh Marg, Mumbai – 400001
Tel No: 22601000 Fax No: 022-2270 5670, 2260 5671, 5691 2270, 2260 5692
ब�क िहंदी म� पत्राचार का �ागत करता है
Caution: RBI never sends mails, SMSs or makes calls asking for personal information like bank account details, passwords, etc. It never keeps or
offers funds to anyone. Please do not respond in any manner to such offers.Annex
Penal Interest Rates which are linked to the Bank Rate
Revised Rate
Item Existing Rate
(With immediate effect)
Penal interest rates on Bank Rate plus 3.0 Bank Rate plus 3.0 percentage points
shortfalls in reserve percentage points (7.65 (8.15 per cent) or Bank Rate plus 5.0
requirements (depending per cent) or Bank Rate percentage points (10.15 per cent).
on duration of shortfalls). plus 5.0 percentage
points (9.65 per cent).