Now Reading: Indian Bank raises deposit rates by 15 bps on select schemes
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Indian Bank raises deposit rates by 15 bps on select schemes
The Story in Brief
Indian Bank has increased interest rates on its 555-day and 777-day special term deposit schemes by 15 basis points each, effective from October 23, the first major lender to do so within 15 days of the RBI's policy rate tightening.
The rate on the 555-day scheme, called ‘Ind Grow’, has been raised to 6.80 per cent from 6.65 per cent, while the 777-day ‘Ind Prosper’ scheme now offers 6.75 per cent instead of 6.60 per cent.
Indian Bank managing director Binod Kumar said the bank does not have surplus liquidity after shedding Rs 10,000 crore of bulk deposits and slowing term deposit mobilisation in the second quarter, even as the broader banking system has been flush with funds following record FCNR-B mobilisation.
Indian Opinion Analysis
Both ET and Business Standard report the same rate hike factually, but ET adds context from the managing director about the bank's liquidity position and a sector-level FCNR-B inflow of $133 billion. Business Standard keeps the story a straight rate-change announcement. The difference lies in depth: ET's framing suggests the hike is a response to the bank's own liquidity squeeze rather than a sector trend, while Business Standard ties it only to the RBI's repo rate increase earlier in October. Neither outlet carries government slant. The balanced reading is that Indian Bank is acting on both its own deposit strategy and the policy signal.
Coverage: 2 sources, 2 neutral
Sources (2): economictimes.indiatimes.com (neutral report), business-standard.com (neutral report)
This brief was synthesised by AI from the 2 sources linked above, so one read covers every framing they carry. Methodology and corrections.
