Karur Vysya Bank Limited has raised interest rates on its Foreign Currency Non-Resident (FCNR) deposits, offering up to 7.00% per annum on US Dollar deposits for tenures of three years and above. The revised rates are effective from June 10, 2026.
The bank is offering 5.00% on USD FCNR deposits for tenures of one year to less than two years, and 3.66% for tenures of two years to less than three years. For tenures of three years and above, the rate stands at 7.00%. The 7.00% rate carries a mandatory lock-in period of one year, during which no premature closure is permitted.
Interest earned on FCNR deposits is exempt from income tax in India under current tax rules. Both principal and interest are fully repatriable. The deposit is held in foreign currency throughout the tenure, insulating it from rupee exchange rate movements.
As of March 31, 2026, KVB reported total business of Rs 2,14,420 crore, comprising deposits of Rs 1,15,666 crore and advances of Rs 98,754 crore. The bank posted its highest-ever annual net profit of Rs 2,510 crore for the financial year ended March 2026.
KVB operates through a network of 901 branches and over 2,200 ATMs and cash recyclers across the country.
Disclaimer: This article is based on company filings submitted to the Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE) and is for informational purposes only. It does not constitute investment advice or a recommendation. Investors should conduct their own research and consult a qualified financial advisor before making investment decisions.