In a welcome move, the SBI has increased interest rates on retail and bulk deposits by 50 and 75 base points respectively. The move will benefit lakhs of depositors.
The rates on deposits of 1 to 2 years have been increased to 6.40%, while those with a maturity of more than 2 years to up to 10 years have been increased to 6.5% from earlier 6%. The decision will push the cost of funds for the SBI.