Mumbai: Private lender ICICI Bank on Wednesday hiked its interest rates on foreign currency deposits by non residents by up to 1.75 percent.
The hike in the Foreign Currency Non Resident (FCNR–B) Deposits, applicable from May 8, is across currencies in different maturities ranging from one to five years, the country's largest private sector bank said in a statement.
The move comes within a week of Reserve Bank hiking interest rate caps on foreign currency deposits by the diaspora in its quest to arrest slide in the rupee.
Under the revised rules, the banks can offer interest rates, which would be 3 percent above the international benchmark for deposits in the three to five year maturities from the earlier 1.25 percent.
The cap has been kept at 2 percent above international benchmark for deposits of less than three years.
ICICI Bank has hiked rates by 0.75 percent for deposits of under three years maturity, while for 3-5 years category, the hike is 1.75 percent.
Under its newly-announced rates, a five-year US dollar deposit will earn a non resident an interest of 4.11 percent, while the same for over one year but under two years is 3.05


Latest News from Business News Desk