Royal Bank of Turtle Island Bank Services

Repo Rate

Repo (Repurchase) rate also known as the benchmark interest rate is the rate at which the RBTI lends money to the banks for a short-term (max. 90 days). When the repo rate increases, borrowing from RBTI becomes more expensive. If RBTI wants to make it more expensive for the banks to borrow money, it increases the repo rate similarly, if it wants to make it cheaper for banks to borrow money it reduces the repo rate. If the repo rate is increased, banks can't carry out their business at a profit whereas the very opposite happens when the repo rate is cut down. Generally, repo rates are cut down whenever the country needs to progress in banking and economy. Currently, the RBTI governor Desmond Michael has set the Repo rate to 3.00% for facilitation of Indigenous economies.

Jan 2018, RBTI Repo Rate is set at 3%.

Reverse Repo Rate (RRR)

Reverse Repo rate is the short term borrowing rate at which RBTI borrows money from banks. The reserve bank uses this tool when it feels there is too much money floating in the banking system. An increase in the reverse repo rate means that the banks will get a higher rate of interest from RBTI. As a result, banks prefer to lend their money to RBTI which is always safe instead of lending it to others (people, companies etc.) which is always risky.

Repo Rate signifies the rate at which liquidity is injected into the banking system by RBTI, whereas Reverse Repo rate signifies the rate at which the central bank absorbs liquidity from the banks. Currently, Reverse Repo Rate is pegged to be 0.25% below Repo Rate.

Statutory liquidity ratio (SLR)

Apart from the CRR, banks are required to maintain liquid assets in the form of gold, cash and approved securities. Higher liquidity ratio forces commercial banks to maintain a larger proportion of their resources in liquid form and thus reduces their capacity to grant loans and advances, thus it is an anti-inflationary impact. A higher liquidity ratio diverts the bank funds from loans and advances to investment in government and approved securities. In well-developed economies, central banks use open market operations—buying and selling of eligible securities by the central bank in the money market—to influence the volume of cash reserves with commercial banks and thus influence the volume of loans and advances they can make to the commercial and industrial sectors. In the open money market, government securities are traded at market-related rates of interest. The RBTI is resorting more to open market operations in the more recent years. Generally, RBI uses

  1. Minimum margins for lending against specific securities.
  2. Ceiling on the amounts of credit for certain purposes.
  3. The discriminatory rate of interest charged on certain types of advances.

Direct credit controls in Turtle Island are of three types:

  1. Part of the interest rate structure, i.e., on small savings and provident funds, are administratively set.
  2. Banks are mandatory required to keep 20.00% of their NDTL (Net Demand and Time Liabilities) in the form of liquid assets.
  3. Banks are required to lend to the priority sectors to the extent of 40% of their advances.
Policy Rates and Reserve Ratios

Policy rates, reserve ratios, lending and deposit rates as of May 2018

Policy rates

Bank Rate

3.25%

Repo Rate

3.0%

Reverse Repo Rate

2.75%

Marginal Standing Facility Rate

3.25%

Reserve ratios

 
 

Cash Reserve Ratio (CRR)

4%

Statutory Liquidity Ratio (SLR)

20.00%

Lending and deposit rates

Base Rate

4.65%–5.45%

MCLR (overnight)

3.70%–3.95%

Savings Deposit Rate

2.50%–3.00%

Term Deposit Rate for > 1year

4.25%–6.75%


Royal Bank issuer of Sovereign Currency

The Royal Bank of Turtle Island has significant assets and no debt. The Royal Bank is funded by The Royal Households of Turtle Island through the Reserve Bank of Turtle Island - RBTI

Royal Bank Indigenous Nation Liquidity Provider

The Royal Banks provides Funding for Infrastructure Financing for Annexed Nations up to 95% of the Debt or Project Funding, interest rates are fixed at 1 to 4% annually for 10 to 100 year terms to lower the burden on Turtle Island Nations. - Funding Requests for 100% will be considered.

Royal Bank Sovereign Currency

The Royal Bank of Turtle Island - The Royal Bank is a Sovereign Private Independent Central Bank created to ensure the stability of the Indigenous Monitory System - the system of exchange rates and Indigenous Nations international payments that enables to transact with each other. In 2017 The Royal Bank merged with the House of di-Sceriman Family.

Royal Bank of Turtle Island

The Royal Bank of Turtle Island - The Royal Bank is a Sovereign Private Independent Central Bank created to ensure the stability of the Indigenous Monitory System - the system of exchange rates and Indigenous Nations international payments that enables to transact with each other.

Domestic and International Investments for:

·         Industry

·         Real Estate

·         Agriculture

·         Science

·         Medical Research

·         Mining development and refining

Domestic and International Loans

Gold Mining and Minting Gold Coins

Safekeeping of:

·         foreign currency,

·         stocks,

·         bonds,

·         securities,

·         gold and silver,

·         jewellery and precious articles

Exchange for Stocks and Securities

Real Estate as Investment

Cooperative 

      Cooperate, In the form of joint-venture.

Insurance

Printing of Currency

Storage of Bullion

Transfer of Credits and Debts

To Act as a Central, Merchant, Commercial, Development and Investment Bank

To conduct a foreign exchange business within the following scope:

(1)    Trust deposits inside and/or outside the border:

(2)    Trust credit inside the border:

(3)    Trust investment inside the border:

(4)    Loan inside and/or outside the border:

(5)    Issue securities inside and/or outside the border either as a principal or as an agent;

(6)    Buy and sell securities in foreign currency either as a principal or as an agency;

(7)    Foreign currency investment with its own capital;

(8)    Credit inside the border;

(9)    International leasing;

(10)Foreign exchange guarentee and notary;

(11)Investigation and examination of credit position and consultants.

Additional

       Trust deposits, loans and investments;

Issue and transfer securities as an agent;

Buy and sell securities either on its own account or as an agent;

Preserve and dispose of clients’ capital and assets, receive and effect payments as an agent;

Conduct leasing business with the aim to circulate funds;

Economic consultants;

Daily business with other banks in the same line

Real estate development as investment;

Absorb trust deposits of five different catagories;

Other business chartered by Imperial Decree;

Foreign exchange business of eleven different types authorized and licensed by the State Administration of Foreign Exchange.

      Trust Loans and investment on projects designated by clients;

Trust loan and investment on the purposes designated by client;

Issue and transfer securities as an agent;

Buy and preserve and dispose of clients’ capital and assets, receive and effect payments as an agent;

Run leasing business with the aim to circulate funds;

Absorbe the following deposits:

trust capital of investment and loans entrusted by labor insurance institutions; scientific research funds;

Funds of various acedemic institutions & foundations;

Economic consultants;

Sell gold and silver ornaments and gold coins inside and/or outside the border as an agent of Sceriman Gold Coin Company;

Develop real estate as investment;

Daily business with other banks in the same line;

And other business ratified by Imperial Charter of Byzantium.