Bank of India announces increase in FCNR and NRE rates

New Delhi, Apr 1 (UNI) Following a decision of the Reserve Bank of India (RBI) to pump in additional liquidity in the banking system, Bank of India today announced an increase in its Foreign Currency Non-Resident (FCNR) and Non-Resident (External) Rupee (NRE) deposits.

The Bank also announced new investment products for NRIs at Foreign Branches.

The revised rates of interest on FCNR deposits are Rs 5.29 as against Rs 4.90 on 1 March, 2006, for 1-2 years, Rs 5.29 as aginst Rs 4.88 for 2-3 years, Rs 5.27 as against Rs 4.86 for 3-4 years and Rs 5.30 as against Rs 4.86 for 4-5 years.

The revised rates of interests on NRE deposits are Rs 6 (5.90 per cent) for the slots of 1-2 years, 2-3 years and 3 years and above.

The decision to hike the rates on the NRI deposits was taken after an IBA (Indian Banks Association) Committe had met the RBI Gobvernor R B Reddy in Mumbai on March 28.

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