Country’s largest private sector lender
The rates on foreign currency (non-resident) deposits have also been revised. However, it is clarified that the amendment is not in response to the latest reserve Bank of India Will go ahead and take a decision on revising the rates further.
largest public sector lender
(SBI) has revised the foreign currency non-resident deposit (FCNR) rates on US dollar in the range of 2.85-3.25 per cent per annum on US dollar deposits of various tenors with effect from July 10, 2022.
SBI has increased the rate on FCNR USD deposits from 1.80 per cent to 2.85 per cent for a period of one year. For deposits of 3-4 years and 5 years, it has been increased to 3.10 per cent and 3.25 per cent respectively. The previous rates were 2.30 per cent and 2.45 per cent.
ICICI The bank has increased the FCNR by 0.15 per cent to 3.50 per cent on deposits above and equal to USD 350,000 for a period of 12-24 months. The new rate has come into effect from 13 July 2022.
HDFC Bank revised FCNR on USD deposits to 3.35 per cent with effect from July 9, 2022, on USD deposits of less than 1 year.
However, a bank official said these rate revisions were not in response to the RBI’s latest move and it is studying the impact of relaxation in foreign currency deposits.
also announced revision of interest rates for fixed and recurring deposits of Rs. non-resident outsider (NRE) account with effect from July 13, 2022.
It has increased the NRE interest rate to 7.40 per cent for NRE FDs for 888 days and to 7.30 per cent for 36 months for NRE RDs.
IDFC First Bank has revised rates on FCNR deposits above USD 1 million with effect from July 13, 2022. For US dollar deposits, the lender offers an interest rate of 3.50 percent for deposits of less than 1 year to less than 5 years. USD deposit for a tenure of 5 years, it offers 2.50 percent interest rate.
On July 6, the RBI further liberalized norms to promote foreign exchange inflows into the country to arrest the fall in the Indian rupee.
Apart from easing norms on FCNR deposits, it raised foreign borrowing limits for companies and liberal norms for foreign investment in government bonds to boost foreign exchange inflows.
(with inputs from PTI)