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RBI CIRCULAR
RBI CIRCULAR
Interest Rates on Deposits - Deposits of interest rates on such deposits should be at par with other
Army Group Insurance Directorate (AGID), deposits of similar maturity and amount.
Naval Group Insurance Fund (NGIF) and Air 3. The above guidelines will be applicable at the time of
Force Group Insurance Society (AFGIS) accepting fresh deposits or renewal of the existing deposits.
In other words, existing term deposits of AGID, NGIF and
RBI/2015-16/147 AFGIS may be continued till maturity.
DBR.Dir.BC.No.33/13.03.00/2015-16 Yours faithfully,
August 06, 2015 (Lily Vadera)
Chief General Manager
All Scheduled Commercial Banks Section 23 of the Banking Regulation Act,
(Excluding RRBs)
Dear Sir/Madam 1949 - Relaxations in Branch Authorization
1. Please refer to our circulars DBOD.No.Dir.BC.121/ Policy
C.347 (26)-86 dated October 29, 1986, DBOD. No. Dir.
BC.26/C.347(26)-87 dated September 1, 1987 and DBOD. RBI/2015-16/148
No. Dir. BC. 28/C.347(26)-87 dated September 11, 1987, in DBR.No.BAPD.BC.34/22.01.001/2015-16
terms of which Public Sector Banks were permitted to pay August 6, 2015
additional interest of 1.28 per cent per annum over and
above the normal rate of interest permissible in terms of All Domestic Scheduled Commercial Banks
directives on interest rates on deposits issued by Reserve (excluding RRBs)
Bank of India, from time to time, only on the term deposits
for two years and above of Army Group Insurance Madam / Dear Sir
Directorate (AGID), Naval Group Insurance Fund (NGIF) and 1. Please refer to circulars DBOD.No.BAPD.BC.54 and 60/
Air-Force Group Insurance Society (AFGIS), provided such 22.01.001/2013-14 dated September 19, 2013 and October
deposits are not in any way linked with payment of 21, 2013 respectively on the above subject, permitting
insurance premium by the bank. domestic scheduled commercial banks (other than RRBs) to
open branches in Tier 1 to Tier 6 centres without the need
2. In line with complete deregulation of interest rates on to take permission from Reserve Bank of India in each case,
deposits, it has been decided to withdraw the prescription subject to reporting and certain other conditions.
of offering additional interest of 1.28 per cent per annum
on the deposits of AGID, NGIF and AFGIS. Accordingly, 2. In line with this rationalization, and in order to allow banks
52 | 2015 | SEPTEMBER | BANKING FINANCE
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