Reserve Bank of India (RBI) has informed that the Scheduled Commercial Banks are free to determine their savings bank deposit interest rate, with the approval of their respective Board of Directors, subject to the following two conditions:-

(i) Each bank will have to offer a uniform interest rate on savings banks deposits up to Rupees one lakh.

(ii) For any end-of-day savings bank balance exceeding Rupees one lakh, a bank may provide differential rates of interest, if it chooses, subject to the condition that banks will not discriminate in the matter of interest paid on such deposits, between one deposit and another of similar amount, accepted on the same date, at any of its offices.

RBI and Government has taken a number of steps for providing loans to the companies engaged in infrastructure development, which are as under:-

• Project Finance Guidelines of RBI.
• Long Term Structured Project Loans.
• Financing of Cost Overruns in Project Loans.
• Refinancing of Project Loans.
• Extension of Date of Commencement of Commercial Operations – Change in Ownership.

RBI has informed that the Industry Outstanding Advances is ₹ 29,98,424 crore as on 31.03.2016 and ₹ 29,66,442 crore as on 31.12.2016.

This was stated by Shri Santosh Kumar Gangwar, Minister of State in the Ministry of Finance in written reply to a question in Lok Sabha today.

Savings bank interest freedom: banks may set rates with board approval, uniform rate required for smaller balances. Reserve Bank policy authorises scheduled commercial banks to set savings bank deposit interest rates with their boards' approval, requiring a uniform interest rate on savings balances up to a specified threshold and permitting differential rates for end of day balances above that threshold so long as there is no discrimination between similar deposits accepted on the same date at any office.