The state-run eight banks on Monday made a decision that from now on they would give rate of interest at the highest 11.50 per cent on their term deposit products instead of 12.50 per cent.
The decision came from a meeting of managing directors and chief executive officers of four state-owned commercial banks and four state-run specialised development banks held at the Agrani Bank headquarters in the capital.
Agrani Bank managing director Syed Abdul Hamid told New Age on Monday that they had made the decision as they were now over liquidated.
He said that the new interest rate would be effective for the new depositors who would want to invest in the term deposit products of the SCBs and the SDBs.
Hamid said the interest rate on lending might be declined in the mid-January as they would invest the new depositors’ fund from the first month of the next year.
The eight state-run banks are: Sonali Bank, Janata Bank, Agrani Bank, Rupali Bank, Bangladesh Krishi Bank, Rajshahi Krishi Unnayan Bank, BASIC Bank and Bangladesh Development Bank.
Association of Bankers, Bangladesh, an organisation of scheduled banks’ managing directors and chief executive officers, in 2012 made a decision not to impose interest rate at the highest 12.50 per cent on deposit and 15.50 per cent on lending.
The ABB made the decision when Bangladesh Bank withdrew the cap of the interest rate on lending and deposit.
A BB official said that majority number of the scheduled banks were now enjoying available fund as the loan disbursement had declined recently amid political unrest.
The businesspeople have recently adopted a ‘wait and see’ approach to expand their investment by taking credit from the banks as they think that the ongoing business environment is not viable for them, he said.
-With New Age input
