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Srei Infrastructure Finance Ltd today announced a hike in its benchmark rate by 0.50 per cent, from 17.50 per cent to 18 per cent per annum effective from September 1.
“This interest rate increase comes at a time when the cost of funds have increased for the infrastructure sector. This pressure is expected to continue as long as our monetary policy remains tight due to the overall macro-economic scenario and rupee depreciation,” Srei CEO Bijoy Daga said.
Srei had last increased its SBR in September 2011 by 0.75 per cent.
At the time when government was trying to clear the hurdles for infrastructure projects in the country the rise in cost of funds will have a negative impact on the sector.
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