The rate is revised from time to time quinquennially after ascertaining the actual cost of conducting the government business and the present rate is 11.80 paise per Rs.100 of Government turnover. Agency banks requested for a revision of the methodology of determining the rates and an Expert Committee was constituted to study their request.
Recently in its report, the Expert Group on revising the methodology for determining the cost of conducting Government business, has observed that in most of the countries, the cost is borne by the respective Governments and not the Central Bank. The cost of conducting government business has been rising in the recent years.