HDFC Bank cuts base rate by 15 bps

Country's largest private sector lender HDFC Bank on Wednesday cut its base rate by 15 bps to 9.70 per cent. The new rate came into effect from Monday. Base rate is the rate below which a bank cannot lend.

The lender cut its base rate last on April 7, 2015, day when RBI kept rates changed but Governor Raghuram Rajan slammed banks for not lowering cost of funds despite two consecutive rate cuts 25 bps each in January and March this year. Recently, United Bank of India, Federal Bank and Allahabad Bank among others have cut base rate.