State Bank of India or SBI has reduced its benchmark lending rates by 5 basis points or 0.05 percentage points across all tenors. The new rates, effective from today, mark the seventh reduction by SBI this financial year. SBI's marginal cost-based lending rate or MCLR, the rate to which all of its home loans are linked, now stands at 8 per cent for the one-year tenor, down from 8.05 per cent earlier, according to SBI's statement. (Also read: SBI's Latest Interest Rates On Savings Deposit)
Here are the SBI's tenor-wise MCLR, effective from today:
|Tenor||MCLR (In %)|
SBI has also reduced fixed deposit (FD) interest rates across select maturities, starting from today. The SBI FD rate has been lowered by 15 basis points or 0.15 percentage points across a select tenor in the retail segment (FDs below Rs 2 crore). In bulk segment (FDs of Rs 2 crore and above), SBI FD interest rates have been reduced by 30-75 basis points or 0.30-0.75 percentage points, the bank said.
The Reserve Bank of India (RBI) has so far this year reduced the repo rate by a total 135 basis points in five consecutive bi-monthly reviews. Repo rate is the key interest rate at which RBI lends short-term funds to commercial banks. The central bank will release its fifth bi-monthly policy statement of the current financial year on December 5.