Banks want funds in dormant accounts taken as CRR

Banks have reached out to the Reserve Bank of India (RBI) with a suggestion to count funds in unclaimed deposits and inoperative or dormant accounts towards the cash reserve ratio, or CRR, people familiar with the matter told.

They said about ₹50,000 crore is locked up in such accounts under the central bank’s oversight.

Banks have argued allowing this relaxation will help in augmenting liquidity in the system.

Leave a Reply

Your email address will not be published. Required fields are marked *