State Bank of India (SBI), ICICI Bank and IDFC First Bank have raised interest rates on foreign currency non-resident deposits in response to the Reserve Bank of India (RBI)'s relaxation last week to shore up forex inflows. T
he country's largest private sector lender HDFC Bank has also revised the rates on foreign currency (non-resident) deposits. However, it clarified that the revision is not in response to the latest RBI move and it will take a call on revising the rates further going forward.
The largest public sector lender State Bank of India (SBI) has revised the foreign currency non-resident deposits (FCNR) rates on US dollar in the range of 2.85 to 3.25 per cent per year on various tenure US dollar deposits with effect from July 10, 2022. SBI has hiked the rate on one-year tenure Foreign Currency Non Resident Account USD deposits to 2.85 from 1.80 per cent earlier.
For deposits of 3-4 years and 5 years, it has been hiked to 3.10 per cent and 3.25 per cent, respectively. The previous rates were 2.30 per cent and 2.45 per cent. ICICI Bank has revised upwards FCNR by 0.15 per cent on deposits of higher than and equal to USD 350,000 for 12-24 months tenure to 3.50 per cent.
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