India this week joined a select club of countries offering fund transfers around the clock, a move that will give banks more flexibility to manage their liquidity requirements, the central bank said.
The National Electronic Funds Transfer sees transactions worth $11.3 billion daily and the round-the-clock service is expected to boost online transactions for customers and will go a long way in bolstering digital payments, according to the Reserve Bank of India. Banks have been directed to waive NEFT transfer fees from January 1 for savings-account customers who use the service.
Besides, the central bank will also hold additional money market operations for banks under the fixed-rate repurchase agreements and the marginal standing facility windows late at night.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.