Punjab National Bank and Bank of India have increased their marginal cost of funds-based lending rates (MCLR) with effect from September 1, 2022. has hiked lending rates by 0.05 bps on all tenors, while has hiked on select tenors between 5 bps and 10 bps.

Bank of India MCLR

According to the bank’s website, the benchmark 1-year MCLR has been hiked by 10 basis points (bps) to 7.60 percent, the six-month MCLR has been raised by 10 bps to 7.45 percent, and the overnight MCLR has been raised by 5 bps to 6.85 percent.

The MCLRs for three months, one month, and three years remain at 7.3 percent, 7.35 percent, and 7.80 percent, respectively.

PNB MCLR

has increased its marginal cost of funds-based lending rate (MCLR) by 0.05 percent across tenors. The new rates are effective from September 1, 2022.

According to the bank’s website, the benchmark 1-year MCLR has been hiked by 5 basis points (bps) to 7.05 percent. The MCLRs for one month, three month and six month is raised to 7.10 percent, 7.20 percent, and 7.40 percent, respectively. The rate for three year is hiked to 8 percent from 7.95 percent.

Banks have been on a hiking spree after the Reserve Bank of India hiked repo rates by 50 basis points to 5.4 percent in its August monetary policy review.

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