Mumbai:ICICI Bank Ltd, the country’s largest private sector lender, on Thursday hiked deposit rates on some deposits by 25 basis points (bps). One basis point is equal to a hundredth of a percentage point. “We have increased the interest rate offered on deposits kept for 390 and 590 days by 25 bps to 6.75%,” a bank spokesperson said.
Earlier, its closest competitor HDFC Bank Ltd raised interest rates in the range of 50-150 bps beginning 19 February on some deposit products.
The hike in deposit rates comes after the Reserve Bank of India on 29 January announced a 75 basis points hike in the cash reserve ratio, or the proportion of deposits that bank set aside, to 5.75%, to be implemented in two stages.
— Anita Bhoir
RBI imposes penalty on Bank of Rajasthan
Mumbai: The Reserve Bank of India (RBI) on Thursday said it has imposed a penalty of Rs25 lakh on private sector Bank of Rajasthan Ltd for irregularities in the accounts of a corporate group, deleting records in the bank’s information technology systems and misrepresenting documents sought by RBI, among other things.
In a statement, RBI said Bank of Rajasthan also did not adhere to the “know your customer” and anti-money laundering norms in the opening and conduct of certain accounts.
However, a Bank of Rajasthan official familiar with the matter said the bank has already paid the Rs25 lakh fine to the regulator and that the two-year-old matter has been resolved. Mint could not immediately confirm whether the fine has been paid.
— Anup Roy and Anita Bhoir
India equities head, others quit Citi
Mumbai: Citigroup Inc.’s head of equities for its Indian operations, Nikhil Nagle, has resigned, according to two people familiar with the matter.
Nagle, who joined Citigroup in 2002, was appointed head of equities, covering sales and trading operations, in February 2009; he moved from Hong Kong, where he previously led Citigroup’s South Asia trading desk, to Mumbai.
A Citigroup spokeswoman in India confirmed Nagle’s departure.
Venkatesh Sethuraman, the bank’s sales head for South-east Asia, has also resigned, according to people familiar with the decision. Singapore-based Princy Singh quit as director of sales in Singapore and plans to join JPMorgan Chase and Co.’s research team, according to two people.