Interest rate ceilings for NRE and FCNR(B) deposits revised to align with LIBOR/SWAP plus prescribed margins. With effect from the close of business on November 15, 2008, interest on fresh NRE term deposits of one to three years shall not exceed US dollar LIBOR/SWAP plus 175 basis points, the same ceiling applying where maturity exceeds three years and on renewals. For FCNR(B) deposits contracted from that date, interest shall be paid within LIBOR/SWAP plus 100 basis points for the relevant currency and maturity; floating rate FCNR(B) deposits are subject to SWAP plus 100 basis points with a six month reset period.
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Provisions expressly mentioned in the judgment/order text.
Interest rate ceilings for NRE and FCNR(B) deposits revised to align with LIBOR/SWAP plus prescribed margins.
With effect from the close of business on November 15, 2008, interest on fresh NRE term deposits of one to three years shall not exceed US dollar LIBOR/SWAP plus 175 basis points, the same ceiling applying where maturity exceeds three years and on renewals. For FCNR(B) deposits contracted from that date, interest shall be paid within LIBOR/SWAP plus 100 basis points for the relevant currency and maturity; floating rate FCNR(B) deposits are subject to SWAP plus 100 basis points with a six month reset period.
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