The Reserve Bank has extended the 2 per cent interest subsidy scheme by another year on rupee export credit to the labour-oriented and small scale sectors. The RBI, in its circular, said that exporters of handicrafts, handlooms, readymade garments, processed agriculture products and carpets will be eligible for interest subvention to be available up to the 31st of March next year. It will be effective from the 1st of April this year. Besides, sports goods and toys exporters would also be eligible for such benefit.

Ahead of the Reserve Bank's mid-quarter review of monetary policy later this month, the country's largest lender, State Bank of India today cut its fixed deposit rates by 0.25 per cent across select maturities. 

The bank has decided to revise its retail term deposit interest rates with a reduction by 0.25 per cent in tenors up to 240 days, SBI said in a statement. The new rates will be effective from tomorrow. SBI had last revised its fixed deposit rates in April, when it had slashed interest rates on fixed deposits by up to 1 per cent.

Country's largest lender SBI today raised fixed deposit rates on select maturities by up to 1 per cent, amid tight liquidity situation. 

Fixed deposits with maturity period of 7 to 90 days will earn eight per cent interest against existing seven per cent. The SBI said in a statement that the new rates would be effective from tomorrow.

Interest rate on 91-179 day period fixed deposits has been raised by 0.75 percent while Interest rate for 181-240 day period fixed deposits has been raised by 1 per cent. The rate of interest will be 8 per cent now.

Interest rate on 241-day to one-year deposits has been raised by just 0.25 per cent to 8 per cent. SBI becomes the fourth public sector bank to increase fixed deposits rates this month.

The bank has left interest rates on fixed deposits beyond one-year maturities unchanged. SBI last revised its fixed deposit rates in August 2011