Bank of Baroda hikes lending rates by 5 bps across select tenures

Bank of Baroda hikes lending rates by 5 bps across select tenures

Public sector lender Bank of Baroda (BoB) hiked its marginal cost of funds linked lending rates by 5 basis points (bps) across tenures. The bank, in an exchange notification, stated that it has hiked the lending rates up to 8.80 percent.

Overnight lending rates have been hiked to 8.10 from 8.05 percent. Three-month, six-month, and one-year tenor lending rates have been hiked by 5 bps each. Rates for three-month tenors have been hiked to 8.45 percent, 8.65 percent for six-month tenors, and 8.85 percent for one-year tenors.

The new rates will be effective from April 12, 2024, the company stated. A company spokesperson said that the last revision of the MCLR rates was in January 2024.

Earlier, HDFC Bank, India’s largest private sector lender, increased its repo-linked home loan interest rates by 10-15 basis points to a range between 9.05 percent to 9.8 percent in March, following its merger with HDFC.

According to information on the bank’s website, the change in the rate is due to the merger of HDFC Bank and HDFC on July 1, 2023, and it will no longer be linked to the retail prime lending rate (RPLR).