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The State Bank of India (SBI), an Indian multinational public sector bank and financial services statutory body. SBI has launched SBI Green Deposit, an initiative to mobilise funds for financing green activities and projects. In this article we will discuss about the scheme in detail.
What is SBI Green Deposit?
A Green Deposit refers to an interest-bearing deposit received by a regulated entity for a fixed period, and the proceeds of which are earmarked for being allocated towards green finance. State Bank of India (SBI) has launched the SBI Green Rupee Term Deposit (SGRTD) in an effort to raise money for projects and activities that promote the environment and help India’s green finance ecosystem flourish.
Eligibility and Tenor
The scheme, known as the Green Rupee Term Deposit scheme, is open to Resident Individuals, Non-Individuals, and NRI Customers. It offers three tenors – 1111 Days, 1777 Days, and 2222 Days.
SBI Green Deposit Rate of Interest
The interest rate for the scheme is 10 bps below the Card Rate for Retail and Bulk Deposit for the respective tenor. The present effective interest rate (% p.a.) is as follows:
| Tenors | General Public | Senior Citizens | Bulk (General Public) | Bulk (Senior Citizens) |
|---|---|---|---|---|
| 1111 Days | 6.65% | 7.15% | 6.15% | 6.65% |
| 1777 Days | 6.65% | 7.15% | 6.15% | 6.65% |
| 2222 Days | 6.40% | 7.40% | 5.90% | 6.40% |
Additional Features
Senior Citizens/Staff/Staff Senior Citizens are eligible for an additional Interest Rate over the applicable rate for the public under the Scheme. However, this benefit is not available to NRI Senior Citizens/NRI Staff.
The scheme allows pre-mature withdrawal. The scheme also provides loan/overdraft facility against the deposit. Tax Deducted at Source (TDS) is applicable as per Income Tax Rules.
SBI Green Deposit Application Process
To apply for the scheme, you can follow these steps:
- Visit your nearest SBI branch: Currently, the scheme is available through the branch network.
- Request for the SBI Green Rupee Term Deposit scheme: The bank staff will guide you through the application process.
- Complete the application: You’ll need to provide necessary details and choose your deposit tenor (1111 days, 1777 days, or 2222 days).
Please note that the scheme will soon be made available through digital channels such as YONO and Internet Banking Services (INB). So, you’ll be able to apply for this scheme online in the near future.
Conclusion
The SBI Green Rupee Term Deposit scheme is a significant step towards promoting green activities and projects in India. By offering attractive interest rates and flexible tenors, the scheme encourages individuals and businesses to contribute towards a sustainable future.