External Benchmark Rate (EBR) – Linked To Repo Rate
External Benchmark Lending Rate (EBLR) = Repo Rate + Spread
- In terms of instruction issued by Reserve bank of India vide notification No.DBR. Dir.No.1413.03.00/2019-20 dated 4th September, 2019, all new floating rate Personal or Retail Loans and floating rate loans to Micro and Small Enterprises extended by the Bank from 01.10.2019 will be linked to an External Benchmark.
- With a view to further strengthening monetary policy transmission, RBI has decided that all new floating rate loans to the Medium Enterprises extended by banks from April 01, 2020 shall be linked to the external benchmarks.
- The effective rate of interest to the borrower will be the combination of EBLR, Credit Risk Premium and Business Strategy Premium.
- EBLR Interest Rate Details
