Bank rates to come down
Posted on: 13/Nov/2016 5:46:43 PM
The State Bank of India, SBI, has said that it has received nearly Rs 40,000 crore as deposits in the last two days following the government�s decision to demonetise Rs 500 and Rs 1,000 notes. Speaking about this, a senior official of SBI said, What I do in a month, I`ve done in a day. The strong growth in deposits would bring down the cost of capital for banks. Along with it, the resulting disinflationary environment would pave the way for lending rates to fall in coming months.
Industry sources say that all banks put together must have collected deposits worth over Rs 2 lakh crore in the last two days. An official from the Revenue Department said, Income-tax, enforcement directorate and excise departments have started massive crackdown on people trying to convert unaccounted demonetised currency. One of the major targets of the investigative agency is jewellers, bullion and foreign currency traders across country. ED conducted surveys on 67 forex dealers for checking possibility of illegal money change in lieu of old currency. ED is looking into foreign exchange violations and money laundering by prominent money exchanges across the country.
