Banks likely to reduce lending and deposit interest rates; United Bank announces new rate from Feb 1
GN Bureau | January 15, 2015
A season of easing of rates has been signaled by the Reserve Bank of India with 25 basis point cut repo rate on Thursday.
Top lenders led by SBI and ICICI spoke of lowering of lending and deposit rates by the banks. SBI Chairperson Arundhati Bhattacharya said it was very difficult to talk about the timing of reduction in interest rate by her bank as of now, but "We can expect cutting lending rates in the coming days".
Welcoming the RBI decision, Bhattacharya said, "We believe that this cut may be just the beginning of a rate easing cycle."
"Definitely, I think those cuts will happen that we have been talking for a while for easing of the rate cycle," ICICI Bank CEO Chanda Kochhar said when asked whether the lending and deposit rates would come down now.
Kochhar said that the decision by banks to lower the rates would be taken by their Asset-Liability Committees after looking into their own cost of funds, but that the direction was clearly towards reduction in the interest rates.
"In the deposit rates, we had already started factoring from as early as October as all indicators were forward looking indicators and were indicating that inflationary expectations were coming down sharply.
"I think that has probably played out the way we had envisaged that it would, and the way forward would be reviewing of rate cycle," she said.
However, the banks refrained from giving any specific timeline for such rate cuts but the United Bank of India has already begun the season of rate cuts by reducing its base rate by 0.25% to 10%. The lending rate cut is effective from February 1.
Maya Kodnani, a BJP leader who was the MLA from Naroda when this locality on the outskirts of Ahmedabad witnessed one of the most gruesome episodes during the Gujarat riots of 2002, was acquitted by the Gujarat High Court on Friday. Her acquittal in the Naroda Patiya massacre case is only a sequel to
The number of civic complaints with BMC has increased from 61,910 in 2015 to 92,329 in 2017, which is 49% in two years. A report titled ‘Civic Issues Registered by Citizens and Deliberations done by Municipal Councillors in Mumbai’ released by Praja Foundation has found some interesting facts a
Atishi Marlena is among the nine AAP functionaries who were dismissed by the union home ministry asserting that their posts were created without the approval of the centre. Marlena, served as education advisor of the Aam Aadmi Party (AAP)-led government in Delhi. While she was intrumental in improving the
The Fortune magazine has named three Indians – lawyer Indira Jaising, industrialist Mukesh Ambani and architect Balkrishna V Doshi – among the world’s greatest fifty leaders.
Remember Kardashev scale? For the uninitiated, it’s a method of measuring a civilization’s level of technological advancement, based on the amount of energy it is able to use for communication. We will get to its unconventional relevance to the big urban questions at the end, but just keep it a
Out of 1580 MPs and MLAs with criminal cases, 48 (three MPs and 45 MLAs) have declared cases related to crime against women. The Association for Democratic Reforms (ADR) and