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SBI announces 50 basis point cut in PLR

The State Bank of India on Saturday announced a half per cent cut in the prime lending rate to 11.50 per cent per annum effective from February 19 following a 50 basis point reduction in both, bank rate and cash reserve ratio, by Reserve Bank of India.

The medium term lending rate, however, remains unchanged at 12 per cent per annum, SBI said in a release here Saturday.

IndusInd Bank Ltd's managing director and chief executive officer K R Maheshwari, when contacted, said the board will meet on February 22 to decide upon the cut in the PLR.

The cut was expected to be reduced by half a per cent to 14.5 per cent per annum from the present 15 per cent, he added.

Several other banks are expected to follow suit in the wake of RBI measures taken yesterday.

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