BoB, Kotak Mahindra Bank scramble lending rate by 25 bps

Bank of Baroda (BoB) & Kotak Mahindra Bank on Tuesday announced hiking of lending rates by 25 basis points.

Post hike, the base rate, or the highest lending rate, of BoB would be ten.25 % with effect from today, the lender said in a filing to the Bombay Stock Exchange.

Further, BoB also raised rates for short term fixed deposits by 25 basis points. Now deposits up to 270 days will earn an interest of 7.25 %.

Also the bank's benchmark prime lending rate (BPLR) stands increased to 14.50 %, from 14.25 %.

The rate hike comes a day after HDFC Bank announced a similar move, while others including country's top lenders -- State Bank of India & ICICI Bank -- have already raised their lending rates.

Kotak Bank has also hiked its base rate by 25 basis points to 9.50 % with effect from tomorrow.

Also the bank's benchmark prime lending rate (BPLR) stands increased to 14.50 %, from 14.25 %.

Source: [ET]