Indian bank offers to double money in 91 months

With remittances to non-resident external (NRE) accounts on the rise, Indian banks are now competing to cash in on the free fall of the rupee by wooing non-resident Indians (NRIs) to deposit with them.
Remittances to NRE (non-resident external) accounts have gone up since the rupee hit an all-time low of 60.72  in June. Federal Bank officials have stated in Indian newspapers that their daily NRI remittances have risen to Rs200 to Rs250 crore from Rs125 crore in the past month.
Though a few national and cooperative banks currently still offer 9.50 per cent on NRE deposits of 365 to 730 days, rates for long-term deposits (three years to seven years) hover in the 8 to 8.5 per cent range since banks don’t want to lock their liabilities at higher interest rates.
In contrast, banks in the UAE offer between 1.5 per cent and four per cent on fixed deposits.
Union Bank of India (UBI) has fired the first salvo in the battle of luring NRI depositors, assuring doubling of their deposits in 91 months with annual interest rate of 9.25 per cent and an annualized yield of 13.37 per cent.