SBI lowers MCLR based lending rates by 10 bps

Country's largest lender State Bank of India on Monday announced the reduction in its marginal cost of fund-based lending rate (MCLR) by 10 basis points across all one-year products, effective Tuesday. This is the eighth consecutive cut in MCLR by the lender this fiscal.

"To pass on the benefit of our falling cost of funds to customers, we have reduced MCLR by 10 bps across all tenors," a statement from the bank said. The new one-year MCLR has been cut to 7.90 percent from 8 percent.

The reduction comes as the Reserve Bank in a surprise move left the key policy rates unchanged last Thursday at 5.15 percent.