alleryStart learning →What penal interest above the bank rate applies to a bank's SLR shortfall for a day?
A10% per annum
B1% per annum
C8% per annum
D3% per annum
Answer & Solution
Correct answer: D. 3% per annum
A defaulting bank pays penal interest at 3 percent per annum above the bank rate on the shortfall for that day.
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