ICICI Bank on Thursday cut its base rate by 35 basis points to match HDFC Bank’s base rate of 9.35 per cent. The new rate will be effective from October 5
Kotak Mahindra Bank, YES Bank and Dena Bank, too, cut their base rates (the minimum interest rate below which banks will not lend) with effect from October 5.
Kotak and YES Bank reduced their base rates by 25 bps each to 9.50 per cent and 10.25 per cent, respectively. Dena Bank cut it by 30 bps to 9.70 per cent. Also, effective October 5, the base rates of Bank of Maharashtra and Mangaluru-based Karnataka Bank will stand reduced by 30 bps and 25 bps to 9.70 per cent and 10.25 per cent, respectively.
After the RBI’s unexpected 50 bps rate cut on Tuesday, State Bank of India was quick to respond with a 40 bps cut in its base rate, which now stands at 9.30 per cent.