Union Bank cuts PLR by 0.25 per cent

Public sector lender Union Bank of India today said it has cut its benchmark prime lending rate (PLR) by 0.25 per cent to 11.75 per cent per annum.

This comes into effect from July 1, a press release issued here said.

"The focus of Union Bank's lending strategy has always been directed at ensuring growth in the productive sectors of the economy. In line with this strategy to ensure credit to productive sectors at lower rates for sustaining growth momentum, Union Bank has announced a downward revision in its PLR from 12 per cent to 11.75 per cent per annum effective July 1," the release said.

The revised PLR will be applicable to all existing and new accounts where the floating interest rate is linked to PLR, it said.

The bank continues to protect the interests of retail depositors by offering interest at eight per cent per annum on deposits of 1,000 days and above, the release said.

The PLR of of the bank was last revised downwards to 12 per cent effective April 1. This is the fifth successive reduction since November 2008 and the bank has reduced a total of 2.25 per cent in PLR since then, it said.