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State-owned Bank of India Ltd on Wednesday (April 9) said the bank has revised its Repo Based Lending Rate (RBLR) to 8.85%, effective April 9, 2025, following the Reserve Bank of India’s decision to cut the repo rate by 25 basis points to 6.00%.
The RBLR adjustment reflects the unchanged markup of 2.85% over the revised repo rate. Previously, the effective RBLR stood at 9.
10%, based on the earlier repo rate of 6.25%. This morning, the RBI cut interest rates for a second consecutive time and signalled more easing as it sought to bolster the economy in the face of further pressure from damaging US tariffs.
Also Read: BharatPe unit Resilient Payments secures RBI license for payment aggregator business The Monetary Policy Committee (MPC), consisting of three central bank members and an equal number of external members, voted unanimously to cut the repurchase or repo rate by 25 basis points to 6 per cent. It had reduced rates by an equal measure in February — the first cut since May 2020. The move lowers borrowing costs to the lowest level since November 2022, amid easing inflation and a fall in oil prices.
RBI changed its policy stance to "accommodative" from "neutral", indicating the possibility of more rate cuts in future, Governor Sanjay Malhotra said, announcing the MPC decisions. The rate cut came on a day when the full 26% additional tariffs on Indian goods exported to the US came into effect. The US tariffs exacerbate uncertainties, with some economists predicting a 20-40 basis point drag on Indian GDP growth in the current fiscal year that started on April 1.
Also Read: RBI to review and expand co-lending framework to all regulated entities Shares of Bank of India Ltd ended at ₹106.80, down by ₹2.45, or 2.
24%, on the BSE..
