SBI cuts base rate by 40 basis points

Chennai: India's largest mortgage lender State Bank of India (SBI) has decided to cut its base rate by 40 basis points to 9.3 percent, a top bank official said.

SBI chairman Arundhati Bhattacharya told a television channel the bank will reduce its base lending rate by 40 basis points to 9.3 percent.

She said the bank will also reduce its deposit rates by 25 basis points to 9.75 percent.

The rate cut follows the reduction in repo rate by 50 basis points to 6.75 percent by the Reserve Bank of India (RBI) in its fourth bi-monthly monetary policy.