RBI proposes raising loan limits, IPO financing. (Photo source: Vijay Sartape/NDTV Profit) Show Quick Read Summary is AI Generated. Newsroom Reviewed

The Reserve Bank on Wednesday proposed to raise the lending limit for banks against shares to Rs 1 crore and for IPO financing to Rs 25 lakh per person, a move that will increase the availability of credit to investors.

Currently, banks can lend up to Rs 20 lakh against shares and Rs 10 lakh towards IPO financing.

Unveiling the bi-monthly monetary policy, RBI Governor Sanjay Malhotra also proposed to provide an enabling framework for Indian banks to finance acquisitions by Indian corporates.

"It is proposed to remove the regulatory ceiling on lending against listed debt securities and enhance limits for lending by banks against share

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