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IOB ups deposit rates in foreign currency NRI A/Cs-news10052012


Public sector Indian Overseas Bank (IOB) has increased interest rates in foreign currency non-resident (Banking) accounts by 175 basis points for deposits of three to five years.


For deposits between one year and up to three years, it has been increased by 75 basis points with immediate effect, an IOB press release said today.

The present interest rates for USD ranges from 2.56 to 4.11%, for GBP (Great Britain Pound) 3.38 to 4.70% and for the euro it ranges from 2.95 to 4.45 per cent maturities.

IOB said the initiative follows RBI's guidelines issued recently.

To attract inflows in view of falling rupee, the Reserve Bank of India has raised the interest rate ceiling on NRI deposits in foreign currencies by up to 3%.

Following the new norms, Indian banks are now able to offer higher interest rates on NRI deposits in foreign currency.

The bank had already hiked the non-resident (External) deposit interest rates at 9.25% for deposits ranging from one year but less than five years, the release said.
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