<p>Mumbai: Savings deposit rates of some public sector banks (PSBs) are prevailing at a historical low, since their de-regulation in 2011, according to the latest bulletin of the <a href="https://www.deccanherald.com/tags/reserve-bank-of-india">Reserve Bank of India</a> (RBI).</p><p>The weighted average domestic term deposit rates for fresh deposits has declined significantly for both PSBs and private sector banks.</p><p>"Currently, the savings deposit rates of some PSBs are prevailing at a historical low, since their de-regulation in 2011," said an article published in the the RBI's July bulletin.</p><p>In October, 2011, the RBI had deregulated the savings bank deposit interest rate, and allowed banks to determine the interest rate at their own.</p><p>The rates on small savings schemes were kept unchanged by the government during the ongoing September quarter.</p><p>The prevailing rates on these instruments are higher than the formula-based rates by 33-118 bps, the article said.</p>.Indian firm says it shipped non-military explosives to Russia.<p>It further said in response to the 100-bps reduction in the policy repo rate since February 2025, banks have adjusted their repo-linked external benchmark-based lending rates downward by 100 bps and marginal cost of funds-based lending rate by 10 bps.</p><p>Consequently, the weighted average lending rates on fresh and outstanding rupee loans of commercial banks declined 26 bps (domestic banks - 24 bps) and 18 bps (domestic banks - 16 bps), respectively, during February-May 2025.</p><p>On the deposit side, the weighted average domestic term deposit rates on fresh and outstanding deposits moderated by 51 bps and 2 bps, respectively, during the same period.</p><p>During the current easing cycle (February-May 2025), the decline in weighted average lending rates on both fresh and outstanding rupee loans was higher for PSBs as compared to private sector banks.</p>
<p>Mumbai: Savings deposit rates of some public sector banks (PSBs) are prevailing at a historical low, since their de-regulation in 2011, according to the latest bulletin of the <a href="https://www.deccanherald.com/tags/reserve-bank-of-india">Reserve Bank of India</a> (RBI).</p><p>The weighted average domestic term deposit rates for fresh deposits has declined significantly for both PSBs and private sector banks.</p><p>"Currently, the savings deposit rates of some PSBs are prevailing at a historical low, since their de-regulation in 2011," said an article published in the the RBI's July bulletin.</p><p>In October, 2011, the RBI had deregulated the savings bank deposit interest rate, and allowed banks to determine the interest rate at their own.</p><p>The rates on small savings schemes were kept unchanged by the government during the ongoing September quarter.</p><p>The prevailing rates on these instruments are higher than the formula-based rates by 33-118 bps, the article said.</p>.Indian firm says it shipped non-military explosives to Russia.<p>It further said in response to the 100-bps reduction in the policy repo rate since February 2025, banks have adjusted their repo-linked external benchmark-based lending rates downward by 100 bps and marginal cost of funds-based lending rate by 10 bps.</p><p>Consequently, the weighted average lending rates on fresh and outstanding rupee loans of commercial banks declined 26 bps (domestic banks - 24 bps) and 18 bps (domestic banks - 16 bps), respectively, during February-May 2025.</p><p>On the deposit side, the weighted average domestic term deposit rates on fresh and outstanding deposits moderated by 51 bps and 2 bps, respectively, during the same period.</p><p>During the current easing cycle (February-May 2025), the decline in weighted average lending rates on both fresh and outstanding rupee loans was higher for PSBs as compared to private sector banks.</p>