Similarly on a fortnightly average basis, lending in the call market should not exceed 25 per cent of their capital funds; however, banks are allowed to lend a maximum of 50 per cent of their capital funds on any day, during a fortnight.
Third, recognising the potential of “purchased inter-bank liabilities” (IBL) to create systemic problems, RBI had issued guidelines in March 2007 prescribing that IBL of a bank should not exceed 200% of its net worth (300% for banks with a Capital to Risk Assets Ratio (CRAR) more than 11.25%).