Image Credit source: PNB website
Earlier, many other banks have also increased their loan rates. This includes ICICI Bank, Bank of Baroda, Canara Bank, Union Bank and Bank of India.
The process of increasing lending rates by banks continues. Today Punjab National Bank has revised its repo related loan rates (repo-linked lending rates) informed about the increase. Giving information about the hike in rates, PNB (PNB) MD Atul Kumar Goel said that the bank will increase the repo-linked lending rates from next month. Along with this, he said that the increase in interest rates is certain in the coming time. RBI rate hike by bankRBI) after a 40 basis point increase in repo rates. Before PNB, ICICI Bank, HDFC Bank have also increased loan rates.
How much will loan rates increase
Goyal informed that with an increase of 0.4 percent in the repo rates, according to the policies of the bank, the same increase in loan rates will be done from June 1, in such a situation, the loan rates will be expensive in the coming times. At the same time, according to the bank’s website, the repo linked lending rates will be 6.9 percent, which will be applicable for new customers from June 1. Earlier, the bank has also increased the rates of fixed deposits by 0.6 percent. Earlier, many other banks have also increased their loan rates. This includes ICICI Bank, Bank of Baroda, Canara Bank, Union Bank and Bank of India.
How were the results of the bank
State-owned Punjab National Bank (PNB) reported a 66 per cent decline in its standalone net profit for the fourth quarter of the last financial year ended March 2022 at Rs 202 crore. While the bank’s non-performing assets (NPAs) declined during the quarter, its profits declined due to higher provisions. Due to this, the bank had earned a net profit of Rs 586 crore in the same quarter of the previous financial year. In a communication to the stock exchanges, the bank said on Wednesday that its total standalone income stood at Rs 21,095 crore during the quarter, as against Rs 21,386 crore in the year-ago period. The bank’s standalone net profit rose to Rs 3,456.96 crore for the full financial year 2021-22 from Rs 2,021.62 crore in 2020-21. The bank’s gross non-performing assets declined to 11.78 per cent as of March 2022 from 14.12 per cent a year ago. The net NPA of the bank also came down from 5.73 per cent to 4.8 per cent. The bank’s provision for bad loans and contingencies increased from Rs 3,540.32 crore to Rs 4,851.47 crore in the fourth quarter. The board of directors of the bank has recommended a dividend of 64 paise per share on the face value of Rs 2 for 2021-22.
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