Public sector lender, Bank of Baroda has raised interest rates on fixed deposits in the range of 25 to 75 basis points across different maturities.
With the rise in deposit rates, most banks are aiming to accumulate more of resources given the current shortage of funds and rise in credit growth.
The new rates come into effect from today, December 13, 2010. The last time the bank had raised deposit rates was on November 29.
The bank's move follows that of its major peers like the largest lender of the country, State Bank of India, ICICI Bank, Punjab National Bank, Kotak Mahindra Bank and others.
Bank of Baroda has also raised its benchmark prime lending rate (BPLR) to 16.25%, a 25 bps rise.