Russia's Sberbank increases maximum annual interest rate on deposits to 20 percent
Date
9/30/2024 7:59:53 AM
(MENAFN) Sberbank, Russia's largest financial institution, has announced a significant increase in the maximum annual interest rate on deposits for terms of up to one year, now reaching an impressive 20 percent. This move, reported by local media on Sunday, reflects Sberbank's commitment to attracting depositors in a competitive banking environment. The bank stated that this maximum interest rate is applicable to deposits of any amount, enhancing the appeal for both new and existing customers.
In addition to the new maximum rate, Sberbank has also made adjustments to interest rates for shorter deposit terms. For deposits ranging from seven to nine months, customers can earn up to 20 percent annually, while those with terms of three to six months will receive up to 18.5 percent. These changes are part of Sberbank's broader strategy to provide attractive options for customers seeking to maximize their returns on savings in a fluctuating economic landscape.
Sergei Shirokov, head of Sberbank's Borrow and Save Department, emphasized that customers can now benefit from the maximum interest rates regardless of the deposit amount. This flexibility is designed to cater to a wider range of clients, encouraging them to save more and invest in ruble-denominated products. The competitive interest rates aim to bolster customer confidence in the bank and stimulate overall savings within the economy.
Following Sberbank's lead, VTB Bank, the second-largest bank in Russia, has also raised interest rates on ruble-denominated savings products for the second time within a month. These developments indicate a trend among major Russian banks to enhance their deposit offerings amid changing economic conditions, reflecting efforts to attract more deposits and maintain liquidity in the financial sector.
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