Nearly a week after the banking regulator Reserve Bank of India (RBI) raised repo rate by 25 basis points — sixth time in a row — lenders were quick to follow suit.
After a number of banks raised their interest rates on retail loans, state lender State Bank of India (SBI) also raised the marginal cost of funds-based lending rates by 10 basis points with effect from Feb 15.
The one-year MCLR rose from 8.4 percent to 8.5 percent, while two-year MCLR increased from 8.5 percent to 8.6 percent. The three-year MCLR increased from 8.6 percent to 8.7 percent.
Likewise, overnight MCLR rose from 7.85 to 7.95 percent, one-month MCLR inched upward from 8 to 8.10 percent, three-month MCLR rose from 8 to 8.10 percent six-month MCLR increased from 8.3 to 8.4 percent.
It is vital to note that at least four other banks have raised their lending rates in the past few days in the wake of banking regulator’s tightening of monetary policy.
We share more details on bank’s lending rates here:
Central bank of India: Central Bank of India raised its lending rate a day after the RBI's policy. It raised the repo-based lending rate (RBLR) from 9.10 percent earlier to 9.35 percent on Feb 9.
Bank of Baroda: Bank of Baroda also raised its marginal cost of funds-based lending rate (MCLR). Now the overnight MCLR is 7.9 percent, one-month MCLR is 8.20 percent, 3-month MCLR is 8.30 percent, six-month MCLR is 8.40 percent and one-year MCLR is 8.55 percent.
For Retail Loans applicable Baroda Repo Linked Lending Rate (BRLLR) is 9.15 percent with effect from Feb 14, 2023.
Union Bank of India: Union Bank of India also raised its MCLR and external benchmark-based lending rates (EBLR) with effect from Feb 11. Now the latest EBLR is 9.30 percent. The one-year MCLR is 8.65 percent, 8.85 percent for two year and 9 percent for three years.
At the same time, overnight MCLR is 7.9 percent, one-month MCLR is 8.05 percent, 3-month MCLR is 8.25 percent and 6-month MCLR is 8.45 percent.
Punjab National Bank: Punjab National Bank (PNB) raised its MCLR by 10 basis points with effect from (w.e.f.) February 1, 2023 i.e., a week before the RBI raised its repo rate.
Now the one-year MCLR is 8.4 percent against 8.3 percent earlier, three-year MCLR is 8.7 percent, six month MCLR is 8.3 percent, three-month MCLR is 8.10 percent, one-month MCLR is 8 percent, and overnight MCLR is 7.9 percent.
