ICICI Bank hikes PLR by 100 basis points

Mumbai, Mar 14 (UNI) ICICI Bank has raised its prime lending rate by 100 basis points from 11.75 to 12.75 per cent.

The new rate is effective from March 13, said the Bank's spokesperson here today.

The Banks's move to hike the lending rate increase comes almost two months after the Reserve Bank of India raised the benchmark reverse repo rate by a quarter-percentage point to 5.5 per cent, citing inflation risks from rising asset prices. It could also impact the profitability of corporate clientele, maintain observers.

Bankers expect further upward pressure on interest rates in the next few months as global central banks continue to tighten their monetary policy. They say that moves by many global central banks are a key factor since they can affect the pace of foreign capital inflows.

UNI SN MAZ SKB2044