The new base rate is 8.7 per cent and the BPLR has been revised to 17.25%.
HDFC Bank, the second largest private one, has raised its minimum lending rate, or base rate, by 50 basis points and the benchmark prime lending rate (BPLR) by 75 basis points. The new base rate is 8.7 per cent and its BPLR has been revised to 17.25 per cent.
This is the second time in less than a month that it has increased its minimum lending rate. It had raised the base rate by 45 basis points in the last week of February.
With this latest rise, HDFC has increased its base rate by 145 basis points since it was introduced on July 1. The BPLR rose by 150 basis points during this period.
HDFC also raised interest rates on select term deposits by 25-100 basis points. The bank now offers a maximum 9.25 per cent rate on deposits of two years and 16 days tenure.
| RATE CARD | |||
| Bank | Base Rate (%) | Benchmark Prime Lending Rate (%) | Effective |
| SBI | 8.25 | 13.00 | 14-Feb |
| PNB | 9.50 | 13.00 | 1-Feb |
| Bank of Baroda | 9.50 | 13.75 | 4-Feb |
| ICICI Bank | 8.75 | 17.50 | 24-Feb |
| HDFC Bank | 8.70 | 17.25 | 14-Mar |
| Axis Bank | 8.75 | 16.50 | 19-Feb |
The latest round of rate rises from domestic lenders began when the country’s largest commercial bank, State Bank of India (SBI), raised its lending rates by 25 basis points in mid-February. SBI’s minimum lending rate is currently 8.25 per cent and its BPLR is 13 per cent.
On an average, banks have raised their lending rates at least four times in the second half of the current financial year. Deposit rates have also hardened by up to 200 basis points during this period.
Top private lenders, including ICICI Bank, HDFC Bank, Axis Bank and Kotak Mahindra Bank, have raised their lending and deposit rates since February.
