What is the SBI Green Rupee Term Deposit (SGRTD) Scheme?

About SBI Green Rupee Term Deposit (SGRTD) Scheme:

• It is an initiative of the State Bank of India (SBI)with the aim of raising money to finance environment-friendly projects.
• The deposit scheme is open to resident individuals, non-individuals, and non-resident Indian (NRI) customers.
• The current framework permits green deposits to be denominated in rupees only.
• It offers investors the flexibility to choose from three distinct tenors: 1,111 days, 1,777 days, and 2,222 days.
• Interest Rate:
  • SGRTD will offer 10 basis points (bps) interest rates below the card rate for retail and bulk deposits for respective tenors.
  • Senior Citizens/ Staff/ Staff Senior Citizens are eligible for an additional interest rate over the applicable rate for the public.
  • The benefit of additional interest shall not be available to NRI Senior Citizens/NRI Staff.
• Premature withdrawals are allowed under the scheme.
• Loan/ overdraft facility will be available against the deposit.

What is a Green Deposit?

• A Green deposit is an interest-bearing deposit, received by the regulated entities (RE) for a fixed period, the proceeds of which are earmarked for being allocated towards green finance.
• The deposits raised under the framework are covered by the Deposit Insurance and Credit Guarantee Corporation (DICGC).