Mumbai, April 21: In a move to ramp up its deposit base, Centurion Bank of Punjab today revised interest rates on deposits by 25 to 50 basis points across various maturities.

While the rate revision will take retrospective effect from April 20, the bank said the move is in line “with the prevailing increasing interest rate trend in the market”.

However, this came as a surprise as interest rates have softened, although marginally, after the Reserve Bank left key rates unchanged in the annual policy statement announced early this week.

Since then, yields on the benchmark 10-year government security has softened.

The highest increase has been for deposits of five years and above where the bank will give an interest of 8 per cent for deposits of less than Rs 15 lakh. This is 150 basis points over 6.50 per cent offered by the State Bank of India for the same maturity basket.

Deposits of one year to less than two years will fetch an interest rate of 7 per cent, up from 6.50 per cent, while interest rates on deposits of two years to less than three years and three years to less than five years were raised by half a per cent to 7 per cent and 7.50 per cent respectively.

Other categories where the private sector bank has raised interest rates include deposits for 31-45 days, 91-180 days and 181-364 days. Here, the interest rate has been revised by 25-50 basis points.

Banking circles said Centurion Bank of Punjab’s move is akin to that adopted by few others in the financial services sector to garner more deposits.

Housing Development Finance Corporation had recently announced a special one-year deposit scheme with an interest rate of 7.5 per cent.