Reserve Bank of India today (6.12.2008) cuts two key short term interest rates, Repo Rate and Reverse Repo Rates by 100 Basic Points and the new rates will come into effect from 8th December 2008 and thereafter Repo Rate will be 6.5% and Reverse Repo Rate will be 5%. By this announcement, RBI has signalled the lowering of the interest Rates.
While welcoming the RBI's measures for growth stimulus, Shri. A. Sakthivel, President, TEA said further to RBI's clear signals to banks for reduction of their Prime Lending Rates (PLR), all banks should come forward immediately and reduce their lending rates for the benefit of beleaguered exporting industries.
Shri. A. Sakthivel added that, as the knitwear garment sector is looking up the banks eagerly for reduction of their interest rates immediately and any further delay from banks' end will certainly aggravate the business proposition of the knitwear garment sector.
Tirupur Exporter's Association
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