(a) whether the Government is taking steps to ensure that all Commercial
Banks, Regional Rural Banks(RRBs) and Cooperative Banks should provide loans to
disabled people on conessional rates for undertaking self-employment ventures;
(b) if so, the details thereof; and
(c) if not, the reasons therefor and the steps taken by the Government
in this direction?
MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAiN MEENA)
(a), (b) and (c) : With effect from 18th October, 1994, the Reserve Bank of
India (RBI) has deregulated the interest rates on advances including advances
under Priority Sector by all Scheduled Commercial Banks including Public and
Private Sector Banks. The Banks determine these rates themselves with the approval
of their Board. With a view to enhance transparency in lending rates, the Banks are
required to adopt Base Rate System introduced by RBI with effect from 1st July, 2010.
The actual lending rate charged by banks includes the Base Rate and other customer
specific charges as considered appropriate.
However, under Differential Rate of Interest (DRI) Scheme the Public and
Private Sector Banks are required to provide loans at concessional rate of
interest at 4 % per annum to the borrower who fulfils the eligibility criteria
stipulated under the scheme.