SBI cuts fixed deposit rate on select maturities by 0.5%

Tags: Banking
State Bank of India today slashed the interest rate on short-term fixed deposits up to 179 days by 0.5%, a move expected to be followed by other lenders.

Interest rate on fixed deposits between 7-179 days has been reduced to 7% from 7.5%, SBI said in a statement.

The new rate would be effective from July 18, it said.

In case of bulk deposits above Rs 1 crore, the downward revision has been effected in two maturity buckets.

The interest rate on term deposits between 7-60 days has been reduced by 0.25% to 6.25% while for 61 days to less than one year, it has been reduced to 6.75% from the existing 7%.

Last month, the central bank had left key policy rate unchanged in its bid to rein in inflation.

The repo rate, at which the Reserve Bank of India lends to banks was retained at 8%. The cash reserve ratio for banks was kept unchanged at 4%.

SBI last reduced its fixed deposit rates in February by up to 0.5% on select maturities.

While deposit rates for maturities of three to five years was lowered by 0.25%, those for five years and above were cut by 0.50%.

EDITORIAL OF THE DAY

  • Should the law or the personal morality of leaders prevail?

    Boozers, desi liquor contractors, distillers, bar and restaurant owners in Bihar and elsewhere are in a celebration mode.

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

BK Chaturvedi

We must improve our primary education

Census data has indicated that about eight crore children are ...

Zehra Naqvi

Elephant tracks

He remembers everything. That is the elephant’s great gift. After ...

Shona Adhikari

Where Bhupen Khakhar rubs shoulders with Georgia O'Keeffe

The next India Art Fair (IAF) is scheduled to take ...