Taking cue from cut in repo rate and Cash Reserve Ratio by 25 basis points each, State Bank of India today reduced its Base rate, a benchmark lending rate, by just five basis points to 9.70 per cent per annum.
New base rate would be effective from February 04, 2013, SBI said in statement.
Rate revision by country’s largest lender comes a day after RBI slashed repo rate by 25 basis points to 7.75 per cent. The Central bank also reduced CRR by 25 basis points to 4 per cent, releasing Rs 18,000 crore in the system.
For SBI, CRR cut freed about Rs 2,800 crore.
