Get ready to pay more for your loan EMIs. India's largest lender, State bank of India has hiked lending rates by 70 basis points or 0.7%.
SBI has hiked its benchmark prime lending rates or BPLR by 0.7% to 14.85% from 14.15% currently. Loans linked to BPLR will now become more expensive.
The bank has also hiked its base rate by 0.7% to 10.10%.
The increased interest rates will be effective from Wednesday, March 15th. SBI last revised the rates in December 2022.
This hike in lending rates by SBI comes ahead of RBI's credit policy meet in the first week of April. Given that retail inflation is still higher than RBI's comfort zone, experts say another repo rate hike is likely on the cards.
Other banks are also likely to follow suit and raise lending rates in the days to come.