HDFC Bank may raise lending rates by up to 55 basis points

In line with the industry trend, HDFC Bank has decided to raise lending rates by 55 basis points and deposits rates by up to 125 basis points.

The base rate, or the minimum lending rate, would go up by 55 basis points to 9.25 per cent, sources said. Even, the benchmark prime lending rate (BPLR) would be revised by 50 basis points to 17.75 per cent from the current 17.25 per cent. Deposit rates across select maturities will be revised upward between 25-125 basis points effective tomorrow, sources said.

The bank earlier raised its base rate by 50 basis point to 8.70 per cent on March 13. Several banks like Punjab National Bank, ICICI Bank and Oriental Bank of Commerce raised base rates by 50 basis points after the Reserve Bank of India raised short-term key rates in its annual credit policy on May 3. Yesterday, State bank of India raised base rate and BPLR by 75 basis points to 9.25 per cent and 14 per cent, respectively. HDFC Bank is likely to raise fixed deposit rates by 25-125 basis points on select maturities. Fixed deposits below Rs 15 lakh with maturity between 46-60 days will earn 6.25 per cent interest rate.