Mangaluru: In a strategic move to enhance customer value and manage its deposit portfolio effectively, Bank of Baroda has announced a substantial upward revision in interest rates on Domestic Retail Term Deposits, including NRO Term Deposits. The revised rates, applicable on deposits below Rs 2 crore, will come into effect from December 29, 2023.
The bank’s decision reflects a targeted approach, with a focus on shorter-term maturity buckets, particularly those below 1 year. Deposit rates have been increased by 10 basis points to up to 125 basis points across various maturity periods, benefitting depositors and aligning with the bank’s objective of balancing and optimizing the overall cost of deposits while safeguarding its Net Interest Margin (NIM).
Ravindra Singh Negi, Chief General Manager – Retail Liabilities and NRI Business at Bank of Baroda, emphasized, “The decision to increase retail term deposit rates underscores Bank of Baroda’s commitment to offering higher value to our customers, while strategically managing our deposit portfolio. We believe this step will not only attract more customers as they earn more on their savings but will also help the Bank optimize its cost of deposits, thereby safeguarding our NIM.”
Effective December 29, 2023, Bank of Baroda has revised interest rates on Domestic Term Deposits, including NRO, below Rs 2 crore, for both new and renewed deposits. Notable increases are seen in shorter tenors, with rates for 7 to 14 days jumping from 3.00 per cent to 4.25 per cent for the general public and 3.50 per cent to 4.75 per cent for senior citizens. Similarly, 15 to 45 days sees a rise from 3.50 per cent to 4.50 per cent (general) and 4.00 per cent to 5.00 per cent (senior citizens). The bank strategically aims to attract depositors to shorter-term maturities, offering up to 125 basis points hike in interest rates. For detailed information, customers can visit the Bank of Baroda’s official website.
