4810

BoB cuts lending, deposit rates

BoB cuts lending rate by 25 bps to 10.25% and deposit rate by 15-20 bps
Comment E-mail Print Share
First Published: Fri, Feb 01 2013. 01 55 PM IST
The reduction will be effective 9 February, the Bank of Baroda said in a communication to stock exchanges. Photo: Pradeep Gaur/Mint
The reduction will be effective 9 February, the Bank of Baroda said in a communication to stock exchanges. Photo: Pradeep Gaur/Mint
Updated: Fri, Feb 01 2013. 01 58 PM IST
Mumbai: State-run Bank of Baroda (BoB) on Friday cut its lending and deposit rates responding to monetary easing by the Reserve Bank of India (RBI) earlier this week. BoB cut its base rate, or minimum lending rate, by 25 basis points (bps) to 10.25% and deposit rate by 15-20 bps in certain shorter maturities.
One bps is one hundredth of a percentage point. The reduction will be effective 9 February, the bank said in a communication to stock exchanges.
On Tuesday, RBI cut its repo rate, at which it lends short-term funds to banks, to 7.75% and the cash reserve ratio (CRR), or the portion of deposits banks need to park with the apex bank, to 4% to stimulate growth in the economy.
Following this, a few banks including State Bank of India, the country’s largest, Punjab National Bank, Union Bank of India and IDBI Bank Ltd, among others, cut their base rates to pass on the benefit of RBI rate cuts.
Comment E-mail Print Share
First Published: Fri, Feb 01 2013. 01 55 PM IST
blog comments powered by Disqus
  • Wed, Apr 09 2014. 05 19 PM
  • Wed, Apr 02 2014. 04 43 PM
ALSO READ close

Banking stocks rise after Goldman Sachs upgrades PSU banks

Subscribe |  Contact Us  |  mint Code  |  Privacy policy  |  Terms of Use  |  Advertising  |  Mint Apps  |  About HT Media  |  Jobs
Contact Us
Copyright © 2014 HT Media All Rights Reserved