Inter Corporate Deposits (ICD)

ICD market is used for short term cash management of the large corporates.

  • As per the RBI Guidelines, the Minimum period of ICDs is 7 days which can be extended to One year.

The ICDs are of two types:

  • Fixed Rate ICD : Interest rate is fixed and remains the same.
  • Floating Rate ICD: They are bechmarked to NSE’s MIBOR.

Tags:

Download GKToday's Android App for Current Affairs updates and quizzes.

Comments