PNB hikes repo-linked lending rate by 15 bps to 6.8%, effective from Sept 1

The country's second largest lender Punjab National Bank (PNB) on Monday hiked its repo-linked lending rate (RLLR) by 15 basis points (bps) to 6.80 per cent.

All new retail loans (housing, education, vehicle), credit to MSMEs are linked to RLLR.

Meanwhile, the state-owned lender has slashed its base rate by 10 bps to 8.80 per cent.

The revised lending rates will be effective from September 1, PNB said in a regulatory filing.

The RLLR has been changed from 6.65 per cent to 6.80 per cent with effect from September 1, 2020, it said.

The increase in the benchmark is expected to be followed by other lenders as well.