SBI slashes retail deposit rate, may not cut lending rates soon
Now the money which ought to have gone to Bank Fixed Deposits would find its way into India Capital Market. Great News for the BULLS
Now the money which ought to have gone to Bank Fixed Deposits would find its way into India Capital Market. Great News for the BULLS
The State Bank of India (SBI) has cut retail deposit rates by 25-100 basis points, following the changed policy stance of the Reserve Bank of India.
The lender may not cut lending rates in the near term as costs of deposits continue to be high, Chairman Pratip Chaudhuri said after the bank lowered its deposit rates.
Scores of private and state-owned banks, saddled with high-cost long-term deposits, narrow profit margins and the threat from a rising volume of bad debts, are hard-pressed to follow the Reserve Bank of India with a cut in lending rates.
The lender may not cut lending rates in the near term as costs of deposits continue to be high, Chairman Pratip Chaudhuri said after the bank lowered its deposit rates.
Scores of private and state-owned banks, saddled with high-cost long-term deposits, narrow profit margins and the threat from a rising volume of bad debts, are hard-pressed to follow the Reserve Bank of India with a cut in lending rates.
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