RBI to talk to banks about passing rate cut benefits to customers

New Delhi: The central bank plans to talk with lenders about passing on interest rate cuts through lower lending rates, Reserve Bank of India Deputy Governor S.S. Mundra said on Friday.

Most banks have yet to lower their lending rates even after the RBI has cut the repo rate by a total of 50 basis points this year.

Mundra, addressing reporters on the sidelines of an event in New Delhi, also said the government and the RBI are still discussing issues related to the creation of an independent public debt management agency, including the timing.

He also reiterated that India is better prepared to deal with any impact from eventual U.S. Fed rate hikes.