New Delhi: In what would make loans cheaper for borrowers, India’s largest public sector lender State Bank of India (SBI) has announced decrease in lending rates effective today (Tuesday).
State Bank of India has cut its External Benchmark Based Lending Rate (EBLR) by 25 basis points from 8.65 percent to 8.90 effective from 15 April 2025.
SBI’s Repo Linked Lending Rate (RLLR) –barring credit risk premium (CRP) –has also been reduced from 8.50 to 8.25% effective today.
SBI’s Marginal Cost Of Funds Based Lending Rate (MCLR) however remains unchanged.
Marginal Cost Of Funds Based Lending Rate (MCLR) With Effect From 15th April 2025. Tenor-wise MCLR effective from 15th April, 2025 is as under:
| Tenor | Existing MCLR (In %) | Revised MCLR (In %)* |
|---|---|---|
| Over night | 8.20 | 8.20 |
| One Month | 8.20 | 8.20 |
| Three Month | 8.55 | 8.55 |
| Six Month | 8.90 | 8.90 |
| One Year | 9.00 | 9.00 |
| Two Years | 9.05 | 9.05 |
| Three Years | 9.10 | 9.10 |
| *No Change | ||
Bringing massive relief to home and auto loan borrowers, the Reserve Bank of India (RBI) earlier this month announced reduction in interest rate after a gap of nearly five years.
This is new RBI Governor Sanjay Malhotra’s first Monetary Policy after he took charge at the central bank, succeeding Shaktikanta Das.
The six-member Monetary Policy Committee (MPC) meeting that began on Wednesday, announce the decision to reduce the repo rates by 25 basis points to 6.25 percent.
Governor Malhotra said that Inflation targeting has served Indian economy very well, adding that, average inflation has remained lower since introduction of monetary policy framework.
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