Mumbai, April 2: Several banks have decided to raise the interest rates on non-resident deposits across various maturities.

Among the public sector banks, Bank of Baroda has hiked interest rates for NRE term deposits with effect from April 4.

The rates for one to two years have been hiked to 4.40 per cent from the present 4 per cent while for two to three years, it has been hiked to 4.80 per cent from 4.40 per cent.

The NRE term deposit rates for three to five years has gone up to 5 per cent from 4.60 per cent. Under the FCNRB, the rates for dollar deposits have gone up to 3.60 per cent for 1-2 years, 4.04 per cent for 2-3 years and 4.25 per cent for a three-year period.

The rates for pound deposits have been reduced to 4.92 per cent for 1-2 years, 4.86 per cent for 2-3 years and 4.85 for three years.

For euro deposits, the rates for 1-2 years have been hiked to 2.13 per cent, for 2-3 years it has been increased to 2.44 per cent, while for the three-year period, it has been reduced to 2.63 per cent from the present 2.65 per cent.

In the private sector, ICICI Bank has revised interest rates on NRE savings account and NRE fixed deposit by 0.61 per cent and 0.47 per cent, respectively, across various maturities.

The bank has also increased FCNR deposit rates for dollars by up to 46 basis points across various maturities. Under the revised interest rates, NRE savings account will attract an interest of 3.40 per cent per annum compared with the earlier interest rate of 2.79 per cent.

Interest rates on NRE fixed deposit for 36 months to 120 months will be 5.01 per cent as opposed to the earlier rate of 4.54 per cent, it said.

Indian Overseas Bank has also increased interest rates on NRE term deposits with effect from April 1, 2005.

The revised rate would be valid for one month. The new rates are 4.40 per cent for deposits for one year to less than two years, 4.80 per cent for two years to less than three years and 5 per cent for three years to less than five years.