New Delhi: The Punjab National Bank (PNB) has increased its Minimal Cost of Funds Based Lending Rate (MCLR) by 15 bps, with immediate effect.
India's largest bank, State Bank of India (SBI), also increased its interest percentage on loans by 10-25 bps.
The bank has hiked the key one-year MCLR to 8.30 percent from the existing 8.15 percent.
The five-year MCLR was increased to 8.45 percent to 8.60 percent.It raised the one-year MCLR to 8.15 percent from 7.95 percent.
The three-year MCLR was raised to 8.35 percent from 8.10 percent.
The MCLR is linked to the costs banks pay on their deposits and hence, a higher MCL is an indication of the uptick in bank deposit rates.