No Surprises from PNB: Lending Rates Stay Put, Stability for Borrowers Ensured

Punjab National Bank (PNB) has notified that its Marginal Cost of Funds-Based Lending Rate (MCLR) and Base Rate will remain unchanged from April 9, 2025. This move is being made in response to the adjustments in other lending rates after the recent repo rate reduction by the Reserve Bank of India.

 

Whereas PNB lowered its Repo-Linked Lending Rate (RLLR) by 25 basis points to 8.85% from 9.10%, the bank made clear that its Base Rate and MCLR remain intact. The decline is meant to provide stability for borrowers who are based on the aforementioned rates, without altering their equated monthly installments (EMIs) in the immediate short term. The fact that the MCLR and Base Rate remain intact reveals PNB's consideration of the current market status and its move to provide equanimity to lending models.

 

The move is in line with the bank's strategy to strike a balance between market forces and providing competitive rates to customers. Borrowers who are connected to the RLLR will enjoy lower EMIs, but those connected to MCLR or Base Rate will not have their repayment terms altered.

 

This affirmation reiterates PNB's commitment to providing stable financial products amidst volatile monetary policies.

 

Source: Refinitiv