New Delhi, June 6 (PTI) RBI -owned Punjab National Bank (PNB), owned by the RBI, announced a 50 basis points deficiency in the loan rate on Friday, a step that will help existing and new borrowers.
Other banks are also expected to make a similar announcement soon.
PNB said in a post on X, “There is great news for our valuable customers! Punjab National Bank makes your EMI more economical! After the repo rate cut (6.00% – 5.50%), Punjab National Bank has reduced 50 bps effectively since June 9, 2025.”
Show full article
With a decrease in benchmark repo-linked benchmark lending rates (RBLR), the bank’s home loan will start from 7.45 percent, while the vehicle loan will start from 7.8 percent per year.
Earlier, in the day, the Reserve Bank of India (RBI) cut interest rates from a large expectation of 50 basis points, and to promote more funds to provide more funds to lend in a bid to promote the economy, reduced cash reserved ratio for banks unexpectedly.
The six -member monetary policy committee of the RBI, headed by Governor Sanjay Malhotra and met three outside members, voted five to one to 5.5 percent to reduce the benchmark Punarkharid or repo rate by 50 basis points. It cut the cash reserve ratio by 100 basis points, in which the banking system already added Rs 2.5 lakh crore to surplus liquidity.
With the latest decrease, RBI has now cut a total of 100 basis points in 2025, starting with a quarter-point decrease in February-May 2020 since the first cut-and cut in another size in April.
The central bank, at the same time, transformed its monetary policy stance from ‘adjustment’ to ‘neutral’, which means that the rates may increase or decrease in the future based on the data to come, with Malhotra said that it could have a limited place for more spontaneity. PTI DP TRB
This report is auto-generated with PTI News Service. ThePrint does not have any responsibility for its content.