Economy News Notes:

Following the deregulation of interest rates on non-resident (external) rupee (NRE) deposits by the RBI, many banks have queued up to increase the interest rates on NRE and NRO (ordinary non-resident) deposits.
- Some of the banks have gone on to increase the rates by three-fold.
In a circular, the apex bank has made it clear that
- the interest rates offered by banks on NRE and NRO deposits cannot be higher than those offered by them on comparable domestic rupee deposits.
- a prior approval of the board/ asset liability management committee may be obtained by banks while fixing interest rates on such deposits.
- the revised deposit rates will apply only to fresh deposits and on renewal of maturing deposits.
- banks should closely monitor their external liability arising out of such deregulation and ensure asset-liability compatibility from systemic risk point of view
The RBI has also directed that state co-operative banks (StCBs) and district central co-operative banks (DCCBs) are free to determine their interest rates on NRE and NRO deposits of one year and above with immediate effect.

FMCG major Hindustan Unilever Ltd (HUL) on Wednesday said HDFC Chairman Deepak Parekh, who is an independent director in the company's board, has resigned after more than 14 years of association with the firm citing personal reasons
He was also the chairman of HUL's audit committee, it said.