Mumbai: Kotak Mahindra Bank joined other banks in revising their lending rates on Friday, after the central bank cut the key repo rate by 25 bps.
Kotak Mahindra Bank cut its base rate by 10 bps to 9.40% per annum, effective immediately. With this, the bank said that "all categories of loans (other than the exceptions permitted by RBI) will be priced with reference to the revised base rate.
The Reserve Bank of India (RBI) cut its key repo rate by 25 bps, thus giving the markets and India Inc the first rate cut in six months. At 6.25%, the repo rate is now at a six-year low. This was RBI Governor Urjit Patel's first monetary policy review and it was the first time that the Monetary Policy Committee decided the interest rates. All six members of the MPC were unanimous on their decision to cut rates.
ICICI Bank and Bank of India cut its base rate by 0,05%. Now, ICICI's base rate is 9.05% while for Bank of India, it is 9.65%.