SBI hikes BPLR by 100 bps to 13.75%

New Delhi, Aug 11 (UNI) State Bank of India (SBI), the country's largest public sector bank, today said it has raised the Benchmark Prime Lending Rate (BPLR) by one per cent to 13.75 per cent from 12.75 per cent.

The 100 bps hike will be effective from tomorrow, the Bank said in a statement.

SBI's move follows Housing Development Finance Corporation, which raised its Prime Lending Rates by July-end, and other banks such as ICICI Bank and Punjab National Bank.

The Reserve Bank of India had raised its Benchmark Lending Rate, the Repo Rate last month by 50 basis points to its seven-year high at nine per cent, and will hike the Cash Reserve Ratio on August 30.

The Bank also clarified that it has not received any official communication from the Reserve Bank of India (RBI) regarding the rejection of its proposed joint venture with French financial services major Societe Generale.

SBI had signed an agreement with Societe Generale Group's division -- Societe Generale Securities Services (SGSS) in June this year to provide a range of security services like reporting, corporate actions, dividends collection and distribution and tax reclaim services.

Following the signing of the pact, SBI is waiting for the RBI approval while Societe Generale's proposal is pending with the Foreign Investment Promotion Board (FIPB).

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