More Stories

Informist, Monday, May 4, 2026

By Nandini Sinha

MUMBAI – Low demand due to lack of funds pushed rates on certificates of deposit and commercial papers higher on Monday, dealers said. "Banks are looking for buyers, but there are none. Whereas mutual funds are still waiting for the inflows," a dealer at a public sector bank said. 

Certificates of deposit maturing in three months were traded the most on Monday. Rates on three-month CDs were 6.40-6.50% in the secondary market, while those on six-month CDs were 6.97-7.07%. Papers maturing in June were traded at 6.22-6.39% Thursday, while those maturing in September were dealt at 6.79-6.82%. The rates on one-year CDs was 7.50-7.60% Monday. Papers maturing in March were traded at 7.15-7.21% in the secondary market Thursday. Money markets were closed on Friday on account of Maharashtra day.

Rates on three-month commercial papers issued by non-banking finance companies were in the range of 6.85-6.95%. The rates on six-month CPs were 7.25-7.35%, while one-year CPs were dealt at 7.50-7.60%. Commercial papers maturing in June were dealt at 6.25% while those maturing in January were dealt at 7.80% Thursday. 

The rates on CDs are expected to fall by 10-15 basis points by May 15 on account of surplus liquidity with mutual funds, the dealer said. However, according to a dealer from a private sector bank, the rates on CDs are expected to remain elevated in the coming days as banks are raising their deposit rates on high demand.

IndusInd Bank Ltd. was among those which issued CDs in the primary market Monday, dealers said. SBI Securities Ltd., ICICI Securities Ltd., and Cholamandalam Investment and Finance Company Ltd. were among those which raised commercial papers in the primary market, according to data from the Clearing Corp. of India Ltd. SBI Securities raised INR 750 million at 6.70%, while ICICI Securities raised INR 2.8 billion at 6.8998%. Cholamandalam Investment and Finance Company raised INR 5.5 billion at 7.75%.

--Primary market
* IndusInd Bank raised funds via CD

* SBI Securities Ltd., ICICI Securities Ltd., and Cholamandalam Investment and Finance Company were among those which raised funds via CP

--Secondary market

* Small Industries Development Bank of India CD maturing on May 5 was traded seven times at a weighted average yield of 5.1472%
* Godrej Consumer Products Ltd.'s CP maturing on May 5 was traded twice at a weighted average yield of 5.1198%

The following were the volumes, in INR billion, in the secondary market for short-term debt at 1700 IST, as detailed by Clearing Corp. of India's F-TRAC platform:

End

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by Deepshikha Bhardwaj

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000 

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2026. All rights reserved.