English
ICICI Bank Interest Rates | New Delhi: ICICI Bank, on Thursday, announced a hike in its Marginal Cost of funds-based lending rate (MCLR) to 4.9 per cent. It also announced a rise in the external benchmarking lending rate (EBLR) by 50 basis points to 8.6 per cent. MCLR and EBLR are the base rates, below which banks cannot lend loans to their customers. If these are raised, the interest charged on EMIs also rises. This comes after RBI announced a hike of 50 basis points in its repo rate on Wednesday. The central bank doubled down to tame the rising inflation in the country.
In an official announcement on its website, ICICI Bank said, “RBI policy repo rate effective June 8, 2022, is 4.90 per cent. ICICI Bank External Benchmark Lending Rate (I-EBLR) is referenced to RBI policy repo rate with a mark-up over repo rate. I-EBLR is 8.60 per cent p.a.p.m. effective June 8, 2022.”
The shares of the company were trading nearly 0.5 per cent in the red at Rs 726.60 per share on BSE.
With the RBI tightening its monetary policy and deciding to gradually withdraw the accommodative stance, the interest rates are set to go up. It is not limited to EMIs but extends to deposits as well. However, with MCLR and EBLR rising, the loans will get dearer.
The new customers of the ban who want to take loans will have to pay a higher interest rate to the bank.
The RBI also hiked its inflation projection for FY23 to 6.7 per cent.
For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest Business News on India.com.
