Lending rates not change in the next 3-4 months

The Reserve Bank of India has not changed the key rates in its second monetary policy review therefore retail and corporate loan rates are likely to remain unchanged. Bankers said there is no possibility of any increase in lending rates in the next three to four months.

Corporation Bank Executive Director Asit Pal said, "I do not see any change in the interest rates till March. There is no liquidity problem in the system and credit off- take is less than expected".

In its quarterly monetary policy RBI said the credit growth is unlikely to meet 20 per cent target.

RBI has increased the Statutory Liquidity Ratio (SLR), the minimum amount the bank must park in government securities, by one percentage point to 25 per cent but has not changed the repo rate at 4.75 per cent and reverse repo at 3.