Oriental Bank of Commerce to review interest rates in next 10 days

Written by Agencies | New Delhi, March 31: | Updated: Mar 31 2008, 20:16pm hrs
Public sector lender Oriental Bank of Commerce (OBC) on Monday said it will review interest rates including consumer and home loan rates within 10 days.

"Asset Liability Committee (ALCO) of the bank will meet within next 10 days following which we will take a view on the interest rates," Oriental Bank of Commerce Chairman and Managing Director A K Misra said in New Delhi.

The bank may revise deposits and lending rates depending on the cost of the fund, he said. Currently, the prime lending rate of the bank stands at 13.25 per cent.

During the current fiscal, the bank is likely to see deposit and credit growth of about 21 per cent, he said. Talking about the outlook for the next fiscal, Misra said next year would be good as the bank has opened 1.6 million no frill accounts and cost of fund is likely to be moderate.

Besides technology initiative taken by the bank would also drive growth, he added.

OBC has become the fourth public sector bank to link all 1,323 branches and 79 extension counters to core banking solution. Besides, the bank also launched online education loan facility, e-shopping and OBC Direct in collaboration with IDBI Capital.

Misra said the bank would open about 64 new branches during the year.

In a bid to establish a toe-hold in the overseas market, OBC will also set up a representative office in Dubai during the year. The bank already has got RBI approval and are seeking regulatory permission from the UAE authorities for opening the office.