The interest rates for The Foreign Currency Non-Resident Bank (FCNR-B) for denominations in dollars have been hiked by two banks of the public sector. For various maturity terms, there has been a 11-29 basis point hike which is effective on Wednesday. The rate of interest for those FCNR-B deposits which are in the denomination of yen, pound, euro, Australian and Canadian dollars with Union Bank of India and Punjab National Bank have also been revised.
For dollar deposits, the revised yearly interest rates for those which mature between two yeas to around a little less than three years has gone up to 2.5 percent, a hike of 11 bps. For deposits which are between three years to slightly shorter than four years, the interest rate offered by UBI is 3.87 percent and PNB is now giving 4.12 percent. For those which mature in five years, the revised rates of Union Bank are 4.8 percent and PNB offers 5.05 percent now.