Rate Cut: This bank announced to make loans cheaper, where has the interest rate reached now:

With the announcement of reduction in repo rates by the Reserve Bank, banks have also started reducing their rates. Bank of India has said in the information sent to the stock market that along with the reduction in repo rates, changes have been made in the repo based landing rates. The bank has informed the stock market that the Reserve Bank has reduced the repo rates from 6.25 percent to 6 percent. According to the bank, repo based landing rates include repo rates along with mark up in which there has been no change and the mark up is stable at 2.85 percent. In such a situation, the effective RBLR has come down from 9.1 percent to 8.85 percent.

How was the performance of the stock?

On Wednesday, the stock of Bank of India closed at 107 with a decline of more than 2 percent. The stock was at the level of 144 a year ago. That is, during this period the stock has declined by more than 25 percent. The lowest level of the stock for the year has been 90, which was recorded on 13 January 2025. At the same time, the highest level of the stock for the year has been 158.

What was the announcement of the Reserve Bank?

Earlier on Wednesday, in the meeting of the six-member Monetary Policy Committee (MPC) of the Reserve Bank of India, it was announced to cut the repo rate by 0.25 percent. The common man will get direct benefit from this decision. With the reduction in repo rate, EMI of home loan, car loan, personal loan is sure to come down. RBI has reduced the repo rate by 0.25 percent to 6 percent. With the announcement, repo rate based rates have come down and banks are also sharing its information.