SBI hikes lending, deposit rates
New Delhi: State Bank of India has hiked its base rate from the existing 9.7 per cent to 9.8 per cent with effect from Thursday.
The country’s largest commercial bank has also hiked certain retail deposit rates (for deposits of less than Rs 1 crore) for various maturities from 7 days to 10 years.
Base rate is the rate below which banks cannot lend. The SBI move may prompt other public sector lenders to also hike their base rates.
SBI has also hiked the benchmark prime lending rate by 10 basis points from 14.45 per cent to 14.55 per cent with immediate effect.
After the latest deposit rate hike, SBI will offer 9 per cent interest on 1-10 year retail deposits. Till date, this bank was offering 8.75 per cent on such deposits.