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2009-10-23

Base Rate will Ensure Transparency Benefiting MSMEs: FIEO

The Federation of Indian export Organisation (FIEO) welcomed the working Group recommendations to make credit pricing more transparent.

The Federation of Indian export Organisation (FIEO) welcomed the working Group recommendations to make credit pricing more transparent. 

 

The move will help in addressing the demand of transparency in the Benchmark Prime Lending Rate. This recommendation will immensely benefit MSME sectors. They can avail credit at a much lower rate unlike earlier when they got it at a higher rate than the corporate.  

 

The recommendation to disseminate the Base Rate and Range of Actual Lending Rates by banks would avoid any possibility of unhealthy practice by banks and will help them to gain debtors' confidence. 

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