PNB, BoB cut interest rates up to 125 bps

Punjab National Bank, Bank of Baroda and Dena Bank on Monday declared reduction in their benchmark lending rates up to 75 basis points. The change would be effect from January 1, 2009.

The Punjab National Bank (PNB) has reduced the benchmark prime lending rate (BPLR) would come down to 12 per cent from the existing 12.50 per cent. The PNB also announced a reduction in its peak deposit rate by 100 basis points to 8.5 per cent for deposits of one year to less than three years.

Bank of Baroda has reduced BPLR by 75 basis points from existing 13.25 per cent to 12.50 per cent with effect from January 1, 2009, while Dena Bank reduced BPLR to 12.75 from 13.5 per cent, according to media reports.