RBI's decision had an instant effect! 4 government banks reduced interest rates, how much cheaper will your loan be?

Bank Lending Rates: The Reserve Bank of India has cut interest rates for the second consecutive time in its MPC meeting. Its direct effect was seen in a short time when 4 government banks cut their interest rates. These banks include Punjab National Bank, Bank of India, Indian Bank, and UCO Bank. This decision of the banks will benefit both their existing and new borrowers.

Punjab National Bank (PNB) has revised the RBLR from 9.10 percent to 8.85 percent. The new interest rates are effective from April 10.

Chennai-based Indian Bank said that its repo-linked standard lending rate (RBLR) will be reduced by 35 basis points to 8.70 percent from April 11.

The new RBLR of Bank of India is 8.85 percent, whereas earlier it was 9.10 percent. Bank of India said that the new rates have come into effect from April 9.

UCO Bank said that it has reduced the lending rate to 8.8 percent, which is coming into effect from April 10.

RBI on Wednesday cut interest rates by 25 basis points for the second consecutive time. The reduction in repo rate has a direct impact on the interest rates of all types of loans including home loans, car loans, and personal loans. This decision will provide relief to the common man.

The central bank has changed the monetary policy stance from 'neutral' to 'accommodative'. Accommodative means that the central bank may continue the soft stance of monetary policy in the coming times.

RBI has reduced the GDP growth rate forecast for FY 26 by 20 basis points to 6.5%. The GDP growth rate may be 6.5 percent in the first quarter of FY 26, 6.7 percent in the second quarter, 6.6 percent in the third quarter and 6.3 percent in the fourth quarter.