RBI's differential rate rule gives banks more flexibility in bulk deposit pricing: Report

New Delhi, Aug 3 (IANS) The Reserve Bank of India’s move to let banks consider Liquidity Coverage Ratio (LCR) run off rates while pricing bulk deposits increases their flexibility to align deposit rates with liquidity costs, a report said on Monday.

The move also optimises banks' funding costs, and improves asset-liability management, the report from CareEdge Ratings said.