Bank Of India FD Rates Revised: Does Its Green Deposit Offer Higher Interest Than Other FDs

The Bank of India (BoI) has revised its green deposit fixed deposit interest rates, effective July 7, 2025. The public sector bank offers a maximum of 7.20 per cent to senior citizens (60 years and above) and 7.35 per cent to super senior citizens (80 years and above) on this FD. After the Reserve Bank of India’s (RBI) repo rate cut by 50 basis points (bps) in June 2025, several banks revised their FD rates. BoI also revised its FD rates on June 16, 2025, offering the highest rate of 6.70 per cent for the general public and 7.20 per cent to seniors, with an additional 50 bps interest.

While the general FD also offers 7.20 per cent, it is available for a shorter tenure on its 450-day Star Vaibhav FD. Meanwhile, under its Harit Jama Yojana or Green Deposit Scheme, the same rate of interest is available for 999 days.

What Is the Green Deposit Scheme?

Green deposit is a category of FDs under which the banks deploy the money as per the RBI’s Framework for Acceptance of Green Deposits, dated April 11, 2023. Under this framework, banks are required to deploy the funds collected through issuing such FDs in the green projects (renewable energy, energy efficiency, climate change adaptation, clean transportation, sustainable water and waste management, and pollution prevention and control, terrestrial and aquatic biodiversity conservation, Sustainable management of living natural resources and land use, and green buildings.

The banks can either deploy these funds in a green assets portfolio or invest in projects or companies working in the sustainable or clean energy space as per the RBI’s framework.

By investing in these FDs, customer can contribute their part to support environmental preservation, promote green energy while earning a fixed return. 

What Does BOI’s Green Deposit Scheme (999 Days) Offer?

This scheme is available on deposits from Rs 1 lakh to less than Rs 10 crore for a 999-day tenure. Its revised interest rates, effective July 7, 2025, are:

• General public – 6.70 per cent

• Senior citizens – 7.20 per cent (including an additional 0.50 per cent)

• Super Senior Citizens – 7.35 per cent (including an additional 0.65 per cent)

The annualised yield on this FD comes out to be 7.27 per cent, per the Bank’s website.

Other FDs:

The Bank offers additional interest to seniors depending on the FD tenure.

For Senior Citizens: The Bank offers an additional 50 bps interest on FDs tenures from a minimum of six months to less than three years. For longer tenures (from three years to 10 years), the additional interest is 75 bps.

For Super Senior Citizens: The additional interest rate is 65 bps for six months to less than three-year tenures. The additional interest rate is even higher (90 bps) for tenures between three years and 10 years.

BoI FD interest rates are:

Source: Bank Website

The minimum amount for these FDs is Rs 10,000.