Announcement

State-Owned Punjab National Bank Raises Marginal Cost of Funds-Based Lending

Announcement

On Thursday, August 1, Punjab National Bank (PNB) announced an increase in its Marginal Cost of Funds-based Lending (MCLR).

Details

The public sector lender raised its MCLR rate by 5 basis points, effective September 1.

Previous Hike

This marks the second hike in PNB's benchmark lending rate this month. On Tuesday, the bank had hiked its benchmark lending rate by 5 basis points.

Industry Impact

The latest increase in MCLR is likely to have a ripple effect across the banking sector. It could push up interest rates on loans, which may impact businesses and individuals alike.

Conclusion

Punjab National Bank's decision to raise its MCLR highlights the rise in borrowing costs in the economy. As interest rates continue to climb, it is crucial for businesses and individuals to stay aware of the impact on their financial plans and make informed decisions to manage their debt effectively.