SBoP base rates for lending

Base rate has been changed to 10.25% with effect from Sept 4

State Bank of Patiala today increased its base rate or minimum lending rate by 0.25 percentage points to 10.25% with immidiate effect.

The base rate or minimum lending rate has been changed from 10% to 10.25% with effect from September 4, a bank's spokesman said.

With this, State Bank of Patiala, an SBI associate bank, has joined its larger peers in increasing the base rate.

Country's top three private lenders ICICI Bank, HDFC Bank and Axis Bank and also mortgage lender HDFC had hiked base rates after RBI's liquidity tightening moves to support the weakening rupee.

To arrest the fall of the rupee, which has been routinely hitting new lows against the dollar, the RBI introduced a series of measures since July 15.

The measures have increased the money market rates, especially on the short end, which is now having an impact on the deposit and lending rates of lenders.