Friday, February 25, 2011

Dhanlaxmi Bank hikes deposit rates

Private sector lender Dhanlaxmi Bank has announced a hike in the deposit rates across various maturities. The bank has hiked the deposit rates by a maximum of 3 percent.

The head of banks branch banking and NRI Businesses Mr. Salil Datar said "The hike in interest rates is in line with market trends and the emerging market interest rate scenario."

After the hike, the deposits for the maturity period 46 to 90 days will attract an interest of 9 percent and on deposit for maturity period of 91 to 179 days the customers will earn an interest rate of 8.75 percent compared to 7.25 percent.

Friday, February 11, 2011

Deposit rates expected to rise by 100 basis points this year

According to a study conducted by Care Ratings, the banks in India might have to raise the fixed deposit rates by around 100 basis percent or 1 percent in the next one year.

According to the study “The banking sector has to garner 41 per cent more money in the form of new deposits in CY2011 than what they had done in CY2010 to maintain the credit growth momentum…..This would put upward pressure on the interest rates offered on deposits.”

The commodity prices and spending on infrastructure is expected to rise further this year and it will keep the banks under continuous pressure.

The agency also expects that to ease the liquidity situation the banking regulators might have to cut the cash-reserve ratio by more than 200-250 basis points.

Thursday, February 3, 2011

Hike in deposit rates of Dhanlaxmi Bank

Dhanlaxmi Bank , a leading South Indian private sector bank has announced a hike in fixed deposit rates. The bank raised the deposit rates by up to 50 basis points or 0.50 percent over various maturities on deposits between Rs 15 lacs to 1 crore.

Earlier the bank hiked the deposit rates on 20th January 2011. A few other banks have already raised their deposit rates in reaction to the announcement of the tightening of the monetary policy by The Reserve Bank of India.

The new rates are in effect from today itself.