Indian Banks

Bank saw 30 per cent rise in savings deposit balances in the last two months.YES Bank on Thursday intensified the deposit rate war, increasing the interest rate on savings deposits for the second time in two months. The private sector lender would now offer seven per cent interest on savings deposits above Rs 100,000 to strengthen its low-cost deposit base.

YES Bank was the first bank in the country to raise the savings deposit rate, after it was deregulated in late October. The bank had increased the interest rate by 200 basis points to six per cent. The lender said for deposits below Rs 100,000, it would continue to pay six per cent interest.

According to Rana Kapoor, founder, managing director and chief executive of YES Bank, the lender recorded a 30 per cent rise in savings deposit balances in the last two months, after it increased the savings deposit rate. “We will build on this momentum and accelerate further. It is critical to our strategy,” he said.

YES Bank’s savings deposits accounted for only two per cent of its total deposit base as of September-end. Low-cost current account and savings account deposits accounted for 11 per cent of total deposits. At the end of the July-September quarter, the bank’s deposit base stood at Rs 44,076 crore.

In October, the Reserve Bank of India had deregulated the savings deposit rate, the last bastion of administered rate regime. All banks were paying a uniform rate of four per cent on savings deposits till then.

Earlier this week, Karnataka Bank had raised its savings deposit rate by 100 basis points to five per cent. Three other private sector banks, Kotak Mahindra Bank, IndusInd Bank and Ratnakar Bank, along with Saraswat Bank, had raised their savings deposit rates.

Public sector banks, including the country’s largest lender, State Bank of India, and large private lenders like ICICI Bank, HDFC Bank and Axis Bank have not raised their savings deposit rate, as these said savings deposit accounts were typically used for transactional purposes.

Even banks that have raised the rates are not in a hurry to revise their savings deposit rate anytime soon. “We are pretty comfortable with our current rate. We have seen significant traction in our new account acquisitions after we raised the savings rate in November. Beyond a point, rates have to be seen along with other features and services being offered, as savings accounts are predominantly transaction accounts. At this point, we don’t see a real need to react,” said Rajeev Ahuja, head of strategy and financial markets, Ratnakar Bank. The bank offers 5.5 per cent interest on its savings deposits.

Kotak Mahindra Bank said it had no immediate plans to raise its savings deposit rate further. The bank pays six per cent interest on deposits above Rs 100,000 and 5.5 per cent for deposits up to Rs 100,000. “We have not decided on a further hike in our savings deposit rate,” said K V S Manian, group head of consumer banking, Kotak Mahindra Bank.

IndusInd Bank said the balances in its savings accounts had shown good growth after it raised the rate and there was no immediate plan to raise the interest rate on these accounts.

(BS)

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Dena Bank Ahmedabad, Applications are invited for post of Business Correspondent Coordinators on contract basis. Vacancy in Gujarat State and Union Territory of Dadra & Nagar Haveli and Union Territory of Daman

How To Apply: Application forms can be downloaded from official website and please apply to the concerned Regional Offices on or before 31.12.2011.

Detailed Info: Click Here

Popularity: 1% [?]

The Reserve Bank of India has been buying back government securities to ease liquidity.

The Reserve Bank of India (RBI) on Thursday said it would take all the necessary steps to ease liquidity constraints in the money market.

RBI has been buying back government securities to ease the liquidity situation, after having raised key policy rates 13 times since March 2010. So far, RBI has bought back securities worth about Rs 25,000 through open market operations (OMOs). Also, upcoming advance tax payments by companies are likely to add to the liquidity constraint in the market, given companies have to pay advance taxes for the third quarter by December 15.

“In order to ease the situation, so far, we have carried out open market operations for Rs 25,000 crore. We would take all necessary steps to see that liquidity is eased. We are aware of the advance tax payment situation. We will take that into account while assessing the liquidity situation,” said RBI Governor, D Subbarao, at a press conference after its central board meeting in Kolkata.

According to RBI’s guidance, liquidity should remain remain between plus/minus one per cent of net demand and time liabilities, which translates into about Rs 60,000 crore. “In the last few weeks, it has gone beyond that, which means there is liquidity constraint across the system, or for certain banks,” Subbarao said.

In its last policy statement, RBI had hinted at a pause in its hawkish policy stance.

“Further rate action, whether it would be paused, depends upon any unanticipated development. Certa-inly, supporting growth remains our objective,” Subbarao said.

Since November 24, banks have been drawing an average of Rs 1 lakh crore daily from RBI, at a repo rate of 8.5 per cent under the liquidity adjustment facility (LAF). “Whatever instruments we have, OMO and LAF are there…If anything else is required, we would do that for liquidity management,” he added.

There has been a debate over the use of the cash reserve ratio (CRR) as a tool to manage liquidity. The CRR, currently at six per cent, is the proportion of deposits banks need to set aside with the central bank as cash.

“The consideration that goes into a CRR cut, or CRR action, has to be kept in mind. The consideration fundamentally is CRR is not just a liquidity tool, but also a monetary policy signal. And, we are, as of now, still in a situation in which inflationary pressures are high. For the moment, while we want to address the liquidity situation, we don’t want to do it in a way that compromises our monetary stance. So, the use of these tactical measures like OMOs is clearly the way we are going to go,” Subir Gokarn, deputy governor, RBI had said at the bankers’ meeting yesterday.

On the possibility of a cut in CRR in the next RBI policy statement, Subbarao was cautious, saying, “I cannot really react to what the market is expecting outside the context of the policy. Whatever we might decide, on the CRR or otherwise, you would have to wait for our mid-quarter statement.” RBI would meet on December 16 to review its monetary policy. To ease inflation, RBI has been raising key policy rates over the last one year.

(BS)

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The South Indian Bank Limited invites applications from Indian Nationals for filling up vacancies of Clerks for branches / offices in Kerala and Tamilnadu. Candidates are required to apply online through Bank official website. The estimated vacancies 400 posts.

Minimum Educational Qualification: Graduation from a recognized University having completed a regular  10+2+3 course securing at least 50% marks in Science Streams or 45 % marks in other streams. Candidates
should be proficient in computer operations.

Application Fee: Rs.250/- for General Candidates, Rs.50/- for SC/ST Candidates. The Application fees can be paid in any of the branches of The South Indian Bank Ltd.  after producing the print out of the challan form which will be generated after the successful registration of online application.

How To Apply: Eligible Candidates Apply online through Bank’s website www.southindianbank.com from 07/12/2011 to 24/12/2011. System generated print out of the applications submitted online (Passport-size photograph pasted thereon) should be accompanied by self-attested copies of  following mark lists and certificates to prove the age and qualifications. Please submit the application in an envelope super scribed as “Application for the post of pro.clerks -Kerala and Tamilnadu – Application ref  ID – ……(please fill in)……..” and send   to “Asst.General Manager (Personnel), The South Indian Bank Ltd., Head Office, SIB House, Mission Quarters,Thrissur-680 001,Kerala” along with self attested copies of mark lists and certificates to prove qualification and age. The last date for receipt of application is 31/12/2011. Written Exam Date: 29/01/2012.

Detailed Advertisement: http://www.southindianbank.com/UserFiles/Kerala-Tamilnadu%282011-12%29_notification.pdf

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Federal Bank, a leading Private Sector Bank invites applications from aspiring, young, talented and dynamic personnel who are looking for a challenging work environment and progressive career, for the following posts.

Qualification: Graduation in any discipline with minimum 60% marks from any recognized University or other institutions established by an Act of Parliament or declared to be deemed as a University under Section 3 of UGC Act 1956.

How To Apply: Eligible candidates are advised to apply online between 11.00 AM on 07.12.2011 and 5.00 PM on 26.12.2011 only through the Bank’s website  www.federalbank.co.in.

Detailed Information: http://federalbank.co.in/General_Notifications_RecruitmentofOfficers.aspx

Popularity: 1% [?]

Syndicate Bank, a Premier Nationalized Bank (A Government of India Undertaking), invites Online applications from Indian citizens for recruitment of 1000 Agricultural Assistants in Clerical cadre. Advertisement No. 2/PD/HRDD/REC//2011.

Application Fee: The fee for SC/ST/PWD  is towards postage only and for others,  the fee includes postal charges of Rs.50/-. For all others (including OBC) – Rs.500/-. Requisite application fee is to be paid at any of the branches of  SYNDICATE BANK only, by means of a Payment Challan (Prescribed format).

How To Apply: Candidates are required to apply online  through websitehttp://registration.sifyitest.com/sybanknov11/index.php from 25.11.2011 to 15.12.2011. The date of the online Examination is tentatively fixed as 22.01.2012.

Detailed Information, Payment Challan: http://www.syndicatebank.in/scripts/Recruitment.aspx

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State Bank of India (SBI) Central Recruitment & Promotion Department (CRPD) Corporate Centre, Mumbai engagement of Consultants. Various business verticals of State Bank of India viz., Project Finance Group, Corporate Accounts Group and Mid Corporate Group handle large  projects for lending in infrastructure sectors like Power, Roads, Ports, Oil & Gas, Telecom etc. and core sectors like Steel, Metals etc.  SBI looking for Consultants specifically in the following sectors.

Remuneration: Rs.50000/- per month plus actuals on travelling and stay as per Bank norms plus upto 20000/-  per month towards secretarial and office  expenses to be reimbursed on certificate basis.

How To Apply: The applications should be prepared strictly in the prescribed format provided on A4 size paper and sent along with the required documents reach to “Deputy General Manager, State Bank of India, Project Finance SBU, Voltas House,2nd floor, J N Heredia Marg, Ballard Estate, Fort, Mumbai – 400001.” By Post / Courier. Please write  “APPLICATION FOR  CONSULTANTS: APPLICATION CODE  – AA”on the envelope. The last date for receiving the application at the Bank including from far flung areas is 17th December 2011.

Further Detailed info and Application Form: http://www.sbi.co.in

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Vijaya Bank (A Government of India Undertaking) is a leading public sector bank invites application for the post of Specialist / Journalist Officer 2011-2012. Application are invited form Indian Citizens for the post of Specialist / Journalist Officers, online registration start from 22/11/2011 to 14/12/2011.

How To Apply: Candidates are required to apply online from 22nd November 2011 to 14th December 2011.

Detailed Info: http://vijayabank.com/vijaya/vijaya/internet-en/menus/announcements/RecruNoticeMainPage.html

Popularity: 1% [?]