Lending rates India Addendum

After publishing the last post,  I have read some articles on stickiness of PLR rates in India. One major issue for stickiness of the PLR is the linking of PLR to the various loans given to agriculture sector. But, this does not reduce the validity of point no1. in the previous post. Banks are worried about the ability to get back the capital lended and this is manifesting to a certain extent on the stickeness of the PLR.