MUMBAI: The Reserve Bank on Friday set an average base rate of 9.18 per cent for non-banking financial companies and microfinance institutions to be charged from their customers for the quarter beginning July 1.
"The applicable average base rate to be charged by non-banking financial companies and microfinance institutions (NBFC-MFIs) to their borrowers for the quarter beginning July 1, 2019, will be 9.18 per cent," RBI said in a release.
The central bank in a circular in 2014 had communicated to NBFCs and MFIs regarding pricing of credit on the last working day of every quarter. RBI sets the average base rate for NBFC-MFIs on the basis of an average of a base rate of the five largest commercial banks.