Commodity Online
MUMBAI: In an attempt to beat the economic meltdown, the Reserve Bank of India (RBI) on Saturday cut key short-term lending and borrowing rates by 100 basis points each.

The apex Indian central bank also decided to pump in Rs 11,000 crore for housing and micro industries to induce demand which it said will propel economic growth in the country.

Following are the key highlights of RBI rate cut:

* Repo-rate cut by 1% from 7.5% to 6.5%

* Reverse repo rate cut by 1% from 6% to 5%

* Reverse repo rate cut for the first time since 2003

* CRR, SLR kept unchanged at 5.5% and 24%, respectively

* Housing loans up to Rs 20 lakh to be put under priority sector lending by banks providing credit to HFCs

* Refinance for up to Rs 7,000 crore to SIDBI for the employment intensive micro and small enterprises

* Refinance for Rs 4,000 crore for the National Housing Bank under consideration

* Concessional finance may be allowed for up to 180 days for overdue bills of exporters

* Companies may be allowed to buy back FCCBs prematurely