Interest Rates For These Customers Will Increase After SBI Raises BPLR Amid Rising Repo

SBI Rate Hike: The country’s largest bank SBI (State Bank of India) has increased its interest rates from today. This time the bank has increased the base rate (SBI Base Rate Hike) and the benchmark prime lending rate (SBI BPLR Hike). State Bank of India revises both these rates on a quarterly basis.

so much increase in BPLR

According to the information available on the State Bank of India website, both the new rates have become effective from today i.e. Wednesday. The bank has increased the Benchmark Prime Lending Rate by 70 basis points i.e. 0.70 percent. Now its new rate has increased to 14.85 percent. Earlier, BPLR was changed in December 2022 and since then till now the rate was 14.15 percent. After the increase in this rate, the loan installments related to BPLR will also increase.

increase in base rate

Along with the BPLR, the bank has also increased the Base Rate. This means that the customers who have taken loans from SBI at the base rate, now their EMI is also going to increase.

Now loans are available at these rates

BPLR and Base Rate are the old benchmarks of banks, on the basis of which loans were given. Now most of the banks give loan on the basis of External Benchmark Based Lending Rate ie EBLR or Repo Linked Lending Rate ie RLLR.

MPC meeting next month

SBI has increased both the old benchmark rates at a time when the Reserve Bank’s Monetary Policy Committee meeting (RBI MPC Meeting) is going to be held early next month. It is believed that in the MPC meeting starting from April 6, the Reserve Bank can again increase the repo rate by 25 basis points i.e. 0.25 percent. In fact, from the beginning of this year, inflation has started raising its head again. For this reason, the estimates of the continuation of the increase in the rates have become strong.

Loans of all banks became costlier

Due to uncontrolled inflation, the Reserve Bank had started increasing the repo rate (RBI Repo Rate Hike) from May last year. Since then, the repo rate has been increased in several phases till now. Due to this, almost all the banks have increased their interest rates. Due to this, people are now paying more EMIs.

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