State Bank of India (SBI), on Wednesday, ruled out the possibility of cutting its minimum lending rate or Base Rate, saying it was the lowest in the market.
“We are already at the lowest. We are at 9.7 per cent (Base Rate). Other banks have been asked (by Finance Minister P. Chidambaram) to come to the SBI level,” bank Chairman Pratip Chaudhuri said.
“Our home loan rates are at 9.95 per cent, everybody is at 10.2 per cent. We are ahead of the curve,” he said.
Earlier, after a meeting with heads of public sector lenders, Mr. Chidambaram said he had suggested the banks consider reducing lending rates to stimulate credit growth.
SBI was comfortable on the liquidity situation, Mr. Chaudhuri said.
“I am having Rs.50,000 crore of excess liquidity,” he said.
