SBI hikes interest rates on FCNR deposits

The country's largest lender State Bank of India (SBI) today raised interest rates on Foreign Currency Non Residential (FCNR) deposits held in sterling pound, euro and yen by up to 46 basis points.

The new rates comes into effect from today, SBI said in a statement.

Interest rate of FCNR deposits in euro with maturity period of one year and above but less than two years has been raised by 10 basis points to 2.57 per cent, it said.

Similarly, interest on deposits with maturity period of two years and above but less than three years has been hiked by 46 basis points to 3.03 per cent.

For FCNRs with maturity period of three years and above but less than four years the rates are up by 44 basis points to 3.36 per cent.

A hike of 40 basis points, to 3.62 per cent, has been announced on deposits with maturity of four years and above but less than five years, while for deposits with a maturity period of over five years the interest rate have been increased by 32 basis points to 3.84 per cent.

Similarly, all categories of deposits in pound sterling have been hiked by up to 28 basis points.

SBI has also revised upward the interest rate on deposits with a maturity of over five years in Canadian dollar by 30 basis points to 3.66 per cent.

The bank has increased interest rates on deposits by non-residents in Japanese yen by up to eight basis points in some categories of maturities.

However, no changes have been made in interest rates on deposits in the American dollar.

In addition, the bank has also hiked the interest rate on deposits made by non-residents in rupee accounts.