State Banks News

The reduction in deposit rates will be?applicable for term deposits of different slabs from 91 days?to above five years maturity, it said in a release. The new deposit rates will be effective April 12, it said.

The Reserve Bank of India has intervened aggressively to curb the rupee`s strength as it struck three-month highs, two traders said on Thursday, estimating that the central bank had bought around $1 billion since Wednesday.

State lenders account for more than 70 percent of all outstanding bank loans, and they are in need of support to meet Basel III regulatory requirements.

India has allowed seven state-run banks to raise capital from market as part of efforts to help them comply with global Basel III banking rules, a finance ministry statement said on Wednesday.

India`s state-owned lenders may turn to equity markets and other alternative sources of capital in order to compensate for a smaller cash injection from the government this year, a senior official said on Wednesday.

The government holds stakes ranging from 56 percent to 84 percent in the state-run banks that account for 70 percent of India`s total outstanding loans of about $1 trillion.