ICICI Bank is now the third reputed bank to have dropped rates. In the past two days following the RBI Monetary Policy Review, PNB and IDBI Bank have already announced a cut in rates.
Punjab National Bank has decreased its base rate by 25 bps from 10.75% to 10.50% with effect from May 01, 2012. The Bank has also reduced the Interest rate on term deposits of less than Rs 1 crore by 25 bps to 50 bps in select buckets w.e.f May 01, 2012.
On Wednesday it may be recalled that the state-owned IDBI Bank announced a cut of up to 0.5% in lending and deposit rates, a day after Reserve Bank reduced key short-term rates. While IDBI Bank lowered lending rate by 0.25%, it cut the fixed deposit rate by as much as 0.5%.