State Bank of India has slashed interest rates on fixed deposits in select maturities by 0.25 per cent,days ahead of the Reserve Banks mid-quarter review of the monetary policy on June 18. The bank,however,has made no change in the lending rates.
SBI decided to revise its retail term deposit interest rates with a reduction of 0.25 per cent for tenors up to 240 days,it said in a statement.
The interest rate on 7-179 days fixed deposit would come down to 7 per cent from 7.25 per cent. Interest rate would be 7 per cent for 180-day term deposit,down 0.25 per cent.
Cabinet nod for Rs 632 cr to RRBs
The Cabinet on Thursday approved Rs 632 crore capital infusion for recapitalisation of the cash starved Regional Rural Banks (RRBs) to improve their capital adequacy and lending capacity to the agriculture sector.
In pursuance to the recommendations of Dr KC Chakrabarty,Deputy Governor,RBI on capital to risk-weighted assets ratio (CRAR) of RRBs,Government had initiated the process of recapitalisation of 40 financially weak RRBs in 2009-10.
The recapitalisation amount has to be shared by stake holders in proportion to their share holding.