The Hindu Business Line : SBI to review short-term deposit rates

"There is certainly some pressure to increase rates and we are taking a re-look at our short-term deposit rates. In fact, sub-PLR rates are starting to inch up and there is also a similar pressure on housing loan rates," he said speaking to press persons on the sidelines of a conference.

"There is an upward pressure of 25 basis points in the lending to triple A rated customers. The immediate pressure on the rates is being reflected on the inching up of sub-PLR rates," he said.

Commenting on the hardening yields in the domestic debt market, Mr Purwar said: "We thought that the worst is behind us a couple of days ago. But today the bond yields have shot up, so we must wait and watch. I personally feel that things should look up," he said.

Currently, the bank has no plans to shift a portion of its SLR securities to the `held to maturity' category, he added.

SBI plans to borrow $500 million in the international markets, by the end of this month, by way of medium-term notes for its overseas operations.

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