SBI cuts peak term deposit rate by 25 bps

SBI cuts peak term deposit rate by 25 bps

BS Reporter / Mumbai December 12, 2007

State Bank of India (SBI) has cut the peak term deposit rate by 25 basis
points (Bps) to 8.5 per cent for the second time in just over a month, and
also on short-term deposits of less than a year by an identical margin to
improve asset-liability management and reduce cost of funds. The new rates are effective from December 12.

SBI would now offer 8.5 per cent on 550-day deposits against 8.75 per cent earlier. The peak deposit rate is down from 9.50 per cent about nine months ago.

The interst for 15-45 days is 4.75 per cent against 5 per cent earlier, for
46-270 days 5.25 per cent against 5.5 per cent earlier and for 271 days to less than a year 6.5 pc, down from 6.75 per cent.

However, the country