The leading state-run lender, State Bank of India (SBI) has hiked the benchmark lending rate or MCLR by 0.2%. The new rates will be effective from today.
The lender has increase lending rates across tenures up to three years by 0.2% or 20 basis points. One basis point is one-hundredth of a percentage point.
As per the leading banker's website, the overnight and one-month MCLR rates have increased to 8.1% as against the earlier 7.9%.
While for the 1-year MCLR now stands raised to 8.45% as against the previous 8.25%. It is to be noted that most of the retail loans are linked to one-year MCLR. 3-year MCLR rate has also been increased to 8.65 per cent from 8.45 per cent.
This rate hike has been made a month after the RBI hiked repo rate for the second consecutive time in this fiscal year to 6.5%.