India Inc’s investments in mutual fund schemes have seen an increase as most banks have been refusing bulk deposits due to the high interest rates they have to offer. A senior official of a PSU bank said that rising interest rates have put pressure on net interest margins of banks, forcing them to reduce exposure to bulk deposits. As a result, corporations are turning to mutual funds to park their money.
http://www.thehindubusinessline.com/markets/article2552160.ece
