Credit demand subdued, economy needs stimulus: SBI Chairman

Though lack of credit demand exists in the economy, there is no supply-side constraint said SBI Chairman Rajnish Kumar.

SBI proposes to dilute stake in credit card business

The country's largest lender currently holds 74 per cent stake in SBI Cards & Payment Services Private Limited.

The new one-year MCLR or the marginal cost based lending rates will come down to 8.25 per cent from 8.40 pc annum.

SBI is one of the biggest credit providers to auto dealers and individuals (auto loans), the bank said in a statement.

SBI has also cut the credit period for dealers to 60 days from 90 days.

Interest rates have been reduced by 50-75 basis points (bps) for time deposits with shorter tenors of up to 179 days.

SBI has taken into consideration the views and representations from various export promotion councils.

A cut of 5-10 bps will not take down home loan interest rate instantly for the existing home loan borrower.

Apart from this, about 2,400 operational creditors have made claims worth some 123.72 billion rupees, according to reports.

An SBI-led consortium of 26 banks has informed the resolution professionals that Jet Airways owes them about 85 billion rupees.