A month after RBI’s rate hike, banks start raising deposit rates as liquidity shrinks, Bank of India the latest to move
RBI moved higher in a monetary policy development.
· ET Stocks
Domestic banks are beginning to increase their deposit rates due to shrinking liquidity conditions in the market. Bank of India recently announced a rate hike on deposits for various maturities, including a special 500-day option. This decision reflects the growing cost of deposits in the banking system as demand for credit rises.
The analysis
Against that, the stock is -0.3% on the day at ₹138.57, and has returned -2.9% over three months. It sits 22% below its 52-week high. The banks sector has moved -2.8% over the same period, so Bank of India is running 0.1 points behind its peers.
For Bank of India, the question is how much of this is already reflected in the price and how much re-rates the banks peer set alongside it.
Why it matters
- Rate decisions ripple straight into banks, NBFCs and every rate-sensitive sector — from real estate to autos.
- With RBI involved, this carries a regulatory dimension that can outlast the immediate market reaction.
Market context
- In focus: Bank of India (BANKINDIA), in Banks.
- Over three months: Bank of India -2.9% against Banks -2.8% (0.1 points behind).
| Company | Price | Day | 1M | 3M | From 52-wk high | Volume vs 20-day | Market cap |
|---|---|---|---|---|---|---|---|
| Bank of IndiaBANKINDIA · Banks | ₹138.57 | -0.3% | +4.8% | -2.9% | -21.8% | 0.6× | — |
Banks
1M +2.0% · 3M -2.8%
Bank of India
Prices as of 6 Nov 2026, 16:10 IST. Sector moves are the average of the stocks we track in each sector.
In this story
Related coverage
Reserve Bank of India may hike rates by up to 75 bps more: Uday Kotak
India bonds climb in step with Treasuries as oil sinks
Indian bonds rally most since April as oil slides after US midterm verdict
Indian rupee strengthens past 94/$ as oil slides, foreign inflows return
India's 10-year bond posts best week in 7 years, leads emerging Asia as oil slides