FinMin ask PSBs to restrict bulk deposits to 15 per cent
The Finance Ministry has asked public sector banks not to accept bulk deposits beyond 15 per cent of total deposits to improve asset-liability management. “10 per cent is the bulk deposit above the card rate and 5 per cent is the CDs (certificate of deposit). So overall a cap of 15 per cent. With that banks have flexibility,” Department of Financial Services Secretary DK Mittal said. A circular in this regard has been issued by the Ministry to the banks.