All banks have agreed that they will pass on any interest rate cuts through the MCLR reduction announced by the monetary policy committee. "People were saying that the benefit of rate reductions don't reach them at all, or reaches in trickle. There was an across the board grievance, " Finance Minister stated.

Banks have also decided to launch repo rate-linked loan products, the finance Minister stated.
Banks have also decided to launch repo-rate linked products, said Finance and Corporate Affairs Minister Nirmala Sitharaman.

Banks will issue a one-time settlement policy to benefit small enterprises and retail borrowers to settle their loan overdues. "This would be done through check box approach and not remain pending for approval."