STCI Primary Dealer Ltd.


Skip Navigation Links.

Inter- Corporate Deposits

An Inter-Corporate Deposit (ICD) is an unsecured borrowing by corporates and FIs from other corporate entities registered under the Companies Act 1956. The corporate having surplus funds would lend to another corporate in need of funds. This lending would be an uncollateralized basis and hence a higher rate of interest is demanded by the lender. The short term credit rating of the borrowing corprorate would determine the rate at which it would be able to borrow funds. Further the credit spreads demanded even for the top rated corporates would be higher than similar rated banks and the rates on ICDs would higher than those in the Certificate of Deposit (CD) market. The tenor of ICD may range from 1 day to 1 year, but the most common tenor of borrowing is for 90 days.
Primary Dealers are permitted to borrow in the ICD market. The borrowing under ICD is restricted to 150% of the Net Owned Funds and the minimum tenor of borrowing is for 7 days. Primary Dealers cannot lend in the ICD market.
STCI Primary Dealer Ltd. borrows funds in the ICD market. The company has a credit rating of ‘A1+’ from ICRA and CRISIL for its Short Term Debt Programme. Corporates interested in placing deposits with us may contact on 022 6620 2213/232.

Latest News

Surprising on the downside, CPI print for Feb-18 stood at 4.44% as against 5.07% in the previous month. Deflationary pressures emanating from the food basket as well as a favorable statistical base led to this fall.
IIP, the country’s barometer for production activity, maintained strong recovery momentum, growing at 7.5% in Jan-18 after posting 7.1% in Dec-17.
WPI inflation
WPI inflation for the month of February came in at 2.48% vis-à-vis 2.84% in January despite a lack of sequential momentum due to a favorable statistical base. Deflationary momentum in primary articles was offset by a rise in fuel and manufacturing prices.
Indias trade
India’s trade deficit narrowed to USD 11.98 Bn in February compared to USD 16.29 Bn in January. Imports fell -7.1% to USD 37.81 Bn while exports jumped 6.0% to USD 25.83 Bn in February.