Banks cannot go beyond a threshold to cut deposit rates as India lacks social security net: SBI chairman

"We can't lower the interest rates (on lending) without lowering the interest rates for depositors. And there is a point, a threshold below which we cannot reduce the interest rate for depositors. Third thing is that the credit cost in the country is very high because the default rates are very high, so the spread has to be necessarily high," said SBI chairman.

from Banking/Finance-Industry-Economic Times https://ift.tt/2sctt1I