Master Direction - Reserve Bank of India (Call, Notice and Term Money Markets) Directions, 2021

Question 1

Which department looks after the regulation of Call, Notice and Term Money Markets in RBI?

Answer 1

FMRD

Question 2

How shall the prudential limits in respect of outstanding lending transactions in the Call, Notice and Term Money Markets be decided by the participants?

Answer 2

with the approval of their Board within the regulatory framework of the exposure norms prescribed by DOR, RBI

Question 3

Prudential limits for outstanding borrowing transactions in the Call, Notice and Term Money Markets by Scheduled Commercial Banks

Answer 3

Board approved limits within the prudential limits for interbank liabilities prescribed by Department of Regulation

Question 4

Prudential limits for outstanding borrowing transactions in the Call, Notice and Term Money Markets by Small Finance Banks

Answer 4

Call and Notice – 100% of Capital funds on a daily average basis in a reporting fortnight and 125% of capital funds on any given day, Term Money – Board Approved

Question 5

Prudential limits for outstanding borrowing transactions in the Call, Notice and Term Money Markets by Payment Banks and Regional Rural Banks

Answer 5

Call and Notice and Term – 100% of Capital funds on a daily average basis in a reporting fortnight and 125% of capital funds on any given day.

Question 6

Prudential limits for outstanding borrowing transactions in the Call, Notice and Term Money Markets by Co-operative Banks

Answer 6

Call and Notice and Term - 2.0% of aggregate deposits as at the end of the previous financial year.

Question 7

Prudential limits for outstanding borrowing transactions in the Call, Notice and Term Money Markets by Primary Dealers.

Answer 7

Call, Notice and Term - 225% of Net Owned Fund (NOF) as at the end of the previous financial year but for Call and Notice it will be considered on a daily average basis in a reporting fortnight.

Question 8

Eligible participants in Call, Notice and Term Money Markets shall follow the standard market practices, methodologies and documentation prescribed by………………………………………………………………, in consultation with the……………………., from time to time

Answer 8

Fixed Income Money Market and Derivatives Association of India (FIMMDA), Reserve Bank

Question 9

Timings of Call, Notice and Term Money Markets?

Answer 9

9 AM to 5 PM or as specified by the Reserve Bank from time to time

Question 10

A Call, Notice or Term Money transaction executed must be reported on ………….. and within …………..

Answer 10

NDS-CALL, 15 Minutes