FCNR(B) inflows flood banks, send CD rates tumbling
As liquidity swelled, touching ₹7.8 trillion on 1 September from ₹1.85 trillion on 5 June, rates cooled in the CD market. Central Bank of India on Tuesday raised ₹1,000 crore by issuing CDs maturing on 2 December at 6.38%, compared to ₹500 crore it raised at 6.60% on 27 August for a similar maturity. On 6 March, the bank had raised ₹250 crore through three-month CDs at 7.15%, Crest Finserv data showed.
