No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2010-11/509 · issued 03 May 2011 · ~1 min read
Quick answerRBI raised savings deposit rates for RRBs by 0.5% to 4.0% per annum, effective May 3, 2011. This applies to domestic, ordinary NRO, and NRE savings accounts. All other deposit rate instructions remain unchanged.
What changed
The savings deposit interest rate for Regional Rural Banks was increased by 0.5 percentage points, from 3.5% to 4.0% per annum. This change applies to domestic savings deposits, ordinary Non-Resident savings deposits, and savings deposits under the Non-Resident (External) Accounts Scheme. The revision took effect immediately from May 3, 2011.
What it means for you
RRBs must now offer a minimum of 4.0% on savings deposits, increasing their cost of funds slightly. This aligns RRB savings rates with the broader scheduled commercial banking system. Banks should update their system interest rate tables and communicate the change to depositors and branches promptly.
Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.
What banks were required to do at the time
Update savings deposit interest rate to 4.0% per annum for domestic, NRO, and NRE accounts effective May 3, 2011.
Amend relevant product documentation, system parameters, and interest calculation modules.
Notify all branches and ensure compliance with the revised directive.
Acknowledge receipt of this circular to the respective RBI Regional Office.
Who it affects
Regional Rural Banks, Savings account holders (domestic, NRO, NRE), RRB treasury and operations teams
RBI’s words: “in partial modification of its directive RPCD.CO.RRB.BC.No.67/03.05.33/2010-11 dated May 3, 2011”
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1526: RPCD.CO.RRB.BC.Dir.No.67/03.05.33/2010-11 — "Interest Rates on Deposits" dated May 3, 2011”
📜 Read the original circular — full text as issued by RBI
RBI/2010-11/509
RPCD.CO.RRB.BC.No.68/ 03.05.33/2010-11
May 3, 2011
All Regional Rural Banks
Dear Sir
Interest Rates on Deposits
Please refer to the directive DBOD.No. Dir.BC.75/13.03.00/2002-03 dated February 28, 2003 , issued to all scheduled commercial banks (including Regional Rural Banks).
2. It has been decided to increase the interest rate on domestic and ordinary Non-Resident savings deposits as well as savings deposits under Non-Resident (External) Accounts Scheme by 0.5 percentage point from 3.5 per cent to 4.0 per cent per annum with immediate effect.
3. All other instructions issued from time to time in this regard will remain unchanged.
4. An amending Directive RPCD.CO.RRB.BC.Dir.No.67/03.05.33/2010-11 dated May 3, 2011 is enclosed.
5. Please acknowledge receipt of this circular to the Regional Office concerned.
Yours faithfully,
(C.D.Srinivasan)
Chief General Manager
Encl: As above
RPCD.CO.RRB.BC.Dir.No.67/03.05.33/2010-11
May 3, 2011
Interest Rates on Deposits
In exercise of the powers conferred by Section 35 A of the Banking Regulation Act, 1949 and in partial modification of its directive DBOD.No.Dir.BC.75/13.03.00/2002-03 dated February 28, 2003 , as amended from time to time, the Reserve Bank of India, being satisfied that it is necessary and expedient in the public interest so to do, hereby directs that, the rate of interest on domestic and ordinary Non-Resident savings deposits as well as savings deposits under Non-Resident (External) Accounts Scheme shall be 4.0 per cent per annum with immediate effect.
(V.K.Sharma)
Executive Director
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2010-11/509 · issued 03 May 2011. The plain-English explanation above is BankPulse’s own independent summary.
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BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=6385&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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