SBI announces MCLR deduction by 15 bps across various tenors.

On Wednesday, the nation’s largest lender State Bank of India (SBI), said that its marginal cost of fund-based lending rate (MCLR) has been reduced by up to 15 basis points across different tenors, effective March 10. The Bank’s one-year MCLR decreased from 7.85 per cent earlier by 10 basis points to 7.75%, said the SBI.

This is the 10th consecutive MCLR cut in the current fiscal year by the bank. Overnight and one-month MCLRs were reduced by 15 basis points to 7.45 per cent each. From 7.65 per cent, the three-month MCLR was updated to 7.50 per cent.

The current MCLRs for two years and three years were lowered by 10 basis points respectively to 7.95 per cent and 8.05 per cent.

Another state-run lender Union Bank of India on Monday had declared a 10-basis-point reduction across all tenors in its MCLR, effective March 11.

This is the ninth consecutive rate cut the Mumbai-based bank has declared since July 2019. The bank has cut its one-year MCLR from 8.10% to 8%, and revised the overnight MCLR to 7.55%, while the rate for the latest one months is 7.60%, the bank announced.