Banker Predicts 30% Rates
. The chief executive of the largest bank in the Maryland suburbs yesterday predicted that interest rates could rise to 30 percent in future years if inflation and other economic problems arenÛªt brought under control.</br></br>Robert Tardio. chairman of Suburban Bancorporation, made the prediction at SuburbanÛªs annual stockholdersÛª meeting, attended by more than 200 executives and stockholders.</br></br>ÛÏI believe that if we donÛªt come to grips with the problems of inflation and; other things like productivity in this; country, the next time around interest rates could approximate 30 percent,Û Tardio said in a brief interview after the meeting.</br></br>Tardio said the interest rate cycles would show ÛÏgreat volatilityÛ and that rates would continue to show ÛÏhigh peaks and very depressed valleys.Û This year the prime interest. rate could fall to between 10 percent and 12 percent, he added.</br></br>Tardio predicted that interest rates would ÛÏfall precipitouslyÛ this year but that the borrowing rates then would ÛÏhave a new (higher) base from which to climb in the future.Û