Banks are also required to make additional disclosures in notes to accounts on risk features such as movement in provisions held towards non-performing assets and depreciation of investments, capital market exposures and loans subject to corporate debt restructuring. These requirements are applicable to financial institutions as well.
In the April, 2002 Monetary and Credit Policy Statement banks have been required to announce the maximum spread over their prime lending rates (PLR) along with their PLR announcements, the minimum and maximum rates charged to borrowers, deposit rates, the effective annualised return to the depositor and processing and service charges. These disclosures serve the interests of customers, besides fostering healthy competition among banks.