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Banks Tip-Toe Towards External Benchmarking Of Corporate Loans
Banks are experimenting with external benchmark linked corporate loans not long after the new loan pricing rules were introduced.
17 Apr 2021, 02:25 PM IST
Banks are starting to experiment with corporate credit linked to external benchmarks, as they compete with bond markets and the loan new pricing system, first introduced in 2019, settles in.In an attempt to retain top corporate borrowers, who currently have a wide array of financing options, large banks are offering short-term term corporate loans linked to an external benchmark. In most cases, this is the Reserve Bank of India’s rep...
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