Vikramaditya Singh Khichy, executive director of Bank of Baroda, said, "Bank of Baroda has decided to immediately pass on the benefit of the rate change from RBI to its customers." We encourage our customers to use the loan options and assure that the bank will stand with them whenever they need a loan. "
The bank has said that the interest rate of people whose loans are already running will be reset on a monthly basis. The country's largest banks, State Bank of India (SBI) and Bank of India (BoI), have cut the interest rate since the RBI reduced the repo rate.
It is noteworthy that in the midst of crisis arising due to coronavirus, RBI convened the meeting of Monetary Policy Committee ahead of time. The meeting, which lasted from 25-27 March this month, announced a reduction of 0.75 percent in the repo rate and 0.90 percent in the reverse repo rate. Apart from this, the central bank announced several measures.
Let us tell you that Bank of Baroda announced on Monday a steep reduction in interest rates on its retail, personal and MSME loans by up to 0.75 per cent. In this way, the new rate of 7.25 percent has become effective from March 28. BOB has issued a statement saying that the bank has reduced the Baroda Repo Linked Lending Rate (BRLLR) by 0.75 per cent, which became effective from March 28, 2020. BRLLR is an external benchmark based loan of Bank of Baroda. It is linked to RBI's repo rate. The central bank had recently announced a reduction in the repo rate from 5.15 per cent to 4.40 per cent.
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