The State Bank of India on Thursday raised lending rates across maturity periods with immediate effect. This is the first time since the inception of a new lending rate system in April 2016 that the bank has increased its rates, NDTV reported.
The country’s largest lender raised the overnight Marginal Cost of funds-based Lending Rate from 7.70% to 7.80%. For six months, the rate was raised from 7.90% to 8%. For one-year, the new rate is 8.15% as against 7.95%. The lending rate for two years will now be 8.25% instead of 8.05%, and for three years 8.35% instead of 8.10%.
On Wednesday, the bank had also revised interest rates on domestic term deposits.
Punjab National Bank, which is at the centre of a Rs 12,700 crore fraud, also raised its one-year lending rate from 8.15% to 8.30%, for three years from 8.30% to 8.45%, and for five years from 8.45% to 8.60%.