The largest private sector lender of the country, ICICI Bank has raised deposit rates by 25 to 75 basis points with immediate effect. One basis point is equivalent to 0.001 percentage point. The bank has also indicated that rise in lending rates in likely in the time to come.

"We have increased our deposit rates effective today across various maturities. The increase is more or less by 0.25 per cent. In some tenors, the hike is by 0.5-0.75 per cent," ICICI Bank Managing Director and CEO Chanda Kochhar said.

Other banks like Punjab National Bank, HDFC Bank, Union Bank, Kotak Mahindra, Central Bank and Lakshmi Vilas Bank have also raised their deposit rates.

Kochhar said that lending rates of the bank may rise in future but the final decision in this regard will be taken only after making a proper assessement on the overall cost of funds.