Bharat Overseas Bank Ltd has lowered interest rates on credit to agriculture and small-scale sectors (SSIs).
"The revised interest rates to agriculture and SSI sector will be at Prime Lending Rate (PLR) minus one per cent for loans up to Rs 25,000 and at PLR for loans between Rs 25,000 and Rs 2 lakh," says a press release from the bank.
However, for agricultural loans above Rs 2 lakh, interest rates will be at PLR plus two per cent.
For SSIs, the rates will vary between PLR and PLR plus two per cent, depending upon the bank's view of the risk.
Also, the bank has reduced interest rates on deposits by 25 to 50 basis points, in different tenors. At present, the rate on deposits between one and three years is six per cent.
Source: Financial Times
