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Interest rates will soften only if deposit rates fall: Bank of Baroda

Lending rates are likely to soften if deposit rates see a drop, said A K Khandelwal, Chairman and Managing Director, Bank of Baroda at a press conference in Mumbai on July 19.

Apnaloan.com Research Bureau

10 Aug 2007

Lending rates are likely to soften if deposit rates see a drop, said A K Khandelwal, Chairman and Managing Director, Bank of Baroda at a press conference in Mumbai on July 19. "Interest rates must soften, but for that to happen, deposit rates have to soften. As long as the current rates on deposits continue, interest rates on loans or advances cannot soften," Khandelwal said. "Inflation is easing and there is surplus liquidity; so a softening of interest rates should happen," he added. 

 

 

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