SBI hopes RBI will lower CRR, cut interest rates by Jan-end
By Neelima Shankar
Jan 8, 2013
Print    Email    RSS   

State Bank of India is expecting that in the monetary policy review, the apex bank might cut interest rates by 0.5 per cent and to boost growth the CRR might be raised by one per cent.

Mr. Pratip Chaudhuri, Chairman of State Bank of India said, "CRR cut is more important and repo rate cut if it happens will be very useful. 50 basis points repo rate cut would be useful. CRR, I would request for a 50-100 basis points cut".

"Only then, the rate of interest environment can come down significantly," Mr. Chaudhuri added.

The Reserve Bank of India is scheduled to announce its third quarter monetary policy review on January 29th and it hinted that it cut interest rates in the review. Mr. Chaudhuri also said that RBI should allow banks to give two per cent interest on current accounts deposits.

Reserve Bank should allow some interest...something like two per cent to be paid on current accounts... that will encourage more people to put (money in banks) instead of keeping the money in cash. It (interest rate) will help put the money in current account," Mr. Chaudhuri said.

Presently, banks do not pay any interest on money kept in current account.


(Comments Posted : 0) Post Your Comments
Show All Comments
 Select a product:

 Select a product:

Carnival of Indian Personal Finance Blogs #3
PPF- How good an investment option!!
Carnival of Indian Personal Finance Blogs #4
Personal Finance for the 21st century...
Savings account portability: How...

How to know Andhra Bank account holder name and...
SK AFTAB AC/ NO:33316067146 IFC CODE : SBIN0001792...
last six months statement

HDFC bank adjudged as the Best private bank in India Feb 16, 2015
HDFC reported an increase of 20% in its net profit Feb 16, 2015
ICICI bank launched Flash remit facility Feb 13, 2015
BOM launched new savings deposit scheme for HNI customers Feb 12, 2015
BMB bank to have a total of 80 branches by the March end. Feb 10, 2015
News Archive