OSE takes the first sign of the governor of RBI, reduces loan rates by 5 basis points
MUMBAI: One day after the governor of the Reserve Bank. Shaktikanta Das said he expects a faster transmission of the three successive cuts of the repurchase rate, the State Bank reduced its loan rates by 5 basis points in all terms.
The new rates, which went into effect on Wednesday, are the third reduction of the SBI in this financial year, since rates were reduced by 5 basis points in April and May, while rates on mortgage loans were reduced by 20 points basic during this period.
Year marginal cost The loan-based loan rate (MCLR) or the minimum loan rate, to which all loans are linked, fell to 8.40 percent from 8.45 percent, said Tuesday. The largest lender in the country in a statement.
Since July 1, the bank also introduced mortgage loan products with repurchase bonds.
Speaking to reporters after the usual post-budget meeting with the finance minister on Monday, Das had said that after making three back-to-back rate cuts of 75 basis points, RBI expects faster transmission by of banks.
At the June meeting of the MPC, he had already said that by that time 50 bps of repo rate recounted had been announced, only 21 bps had been transmitted. But one positive thing that is happening now is that before it used to take six months for the transmission. Now he's taking a much shorter period of two or three months, Das had said.
From then on, we announced a cut of 25 bp more. Therefore, it is now a cumulative cut of 75 bp. We are collecting the data and we must also bear in mind that since June, the system has a more than adequate surplus of liquidity, he said. He said.
After cutting 25 basis points in the June policy, Bank of Maharashtra , Bank of corporations , Eastern Bank and IDBI Bank he had reduced his MCLR by 5-10 bps.
The next meeting of the Monetary Policy Committee is scheduled for August 5 and 9, when most analysts expect another rate cut.