During the financial year 2025-2026, the defence ministry has signed a total of 182,492 crore capital acquisition contracts, highlighting the government's push to modernise the armed forces and promote indigenous defence production.
The Indian Army is equipping its infantry battalions with drone platoons and raising elite commando units as part of a modernization drive to enhance combat capabilities along the northern and western frontiers. The Army is also procuring new carbines and upgrading its arsenal with advanced weaponry.
Some banks provide loans and advances at a rate lower than the BPLR of the bank to customers availing finance for business purposes or short-term funds for various needs.
Banks are divided over the Reserve Bank of India's move to evolve a benchmark prime lending rate, saying it may not be feasible to smaller financially sound banks and the rate should be pegged to the average returns on government papers.
For instance, an oil marketing company availed of a short-term credit facility of Rs 500 crore (Rs 5 billion) from a public sector bank at less than 7 per cent. Non-banking finance companies, which were finding it difficult to raise resources from banks, can now avail of loans at 10.5-11 per cent as against 14-15 per cent in November.
The ministry of small-scale industries, in consultation with the Reserve Bank of India, was considering reducing prime lending rate (PLR) for the small-scale industry, especially the unorganised sector.
The Reserve Bank of India is likely to introduce benchmark prime lending rate based on various parameters like actual cost of funds, operating expenses and non-performing assets by October this year.\n
The cost of deposits is on the rise, but banks can't raise interest rate on close to 60% of their loan books, points out Tamal Bandyopadhyay.
Country's second largest public sector lender Punjab National Bank said on Wednesday it might increase prime lending rate in the range of 25 to 50 basis points, but a decision had not been taken.
The company will raise $1.8 billion for the under construction and contracted portfolio of 12 GW, which includes the country's first manufacturing-linked solar power plant of 8 GW.
The banking industry could witness another round of prime lending rate hikes beginning next week, a top Indian Banks' Association official said on Wednesday.
Banks generally lend to potential customers, primarily corporate clients, at much lower rates below their benchmark prime lending rate, which is often termed as sub-PLR rates.
A host of public sector banks had cut interest rates in the earlier part of this year following an advisory from Finance Minister P Chidambaram in January. Private and smaller state-owned banks, however, did not cut rates.
Central Bank of India on Wednesday cut the benchmark prime lending rate by 0.5 per cent to 11 per cent and slashed the interest rate for agri and SSI loans, while offering higher returns on savings of senior citizens.
The Bank of Baroda on Thursday expressed its desire to acquire a bank in south or east India and said it was open to reduce the prime lending rate by 0.25-0.50 per cent.
Shifting to floating rate deposits can work as an anaesthetic gel for some customers, points out Tamal Bandyopadhyay.
The Indian banking sector has overcome concerns pertaining to the rising cost of funds and an increase in provisioning requirements under the new RBI norms, to post a healthy rise in net interest income during the quarter ended March 2007.
Two public sector banks, Union Bank of India and United Bank of India (UBI), on Monday cut lending rates by 25-50 basis points (bps) ahead of Finance Minister P Chidambaram's meeting with PSU bank chiefs.
Shortly after the Reserve Bank of India cut its signaling rates and the announcement of stimulus package, leading lenders HDFC Bank and Union Bank of India on Monday reduced their benchmark prime lending rates (PLR).
Speaking at a function at Ghaziabad on Monday, State Bank Chairman-cum-Managing Director O P Bhatt said the bank has decided to raise the interest rate by 0.5 per cent on all loans such as home loans and auto loans which are linked to PLR. The revision in PLR came after SBI raised its PLR from 12.25 per cent to 12.75 per cent last week following Reserve Bank's increasing its key short-term lending rate to banks.
In a relief to the incumbent telecom operators, who have more than 6.2 MHz spectrum, the department of telecom (DoT) on Friday clarified the retrospective fee on spectrum beyond 6.2 MHz would be calculated based on the 2001 auction price, indexed to the prime lending rate (PLR) of a state-owned bank.
A day after the Reserve Bank of India announced a cut in bank rate, State Bank of India has reduced its prime lending rates and interest on domestic term deposits by 0.25 per cent across all maturities with effect from May 5.
With a balance sheet size of Rs 22,000 crore (Rs 220 billion), we are a meaningful player in our home country, says Rana Kapoor.
The country's second largest private sector lender HDFC Bank on Monday slashed benchmark lending rate by 25 basis points to 15.75 per cent.
Faced with abundant liquidity and flat credit off-take, banks are reversing interest rate hikes charged to large companies.In the first three months of this fiscal, most blue chips could access loans at a maximum of one to two percentage points below the PLR. Today, short-term loans (that is, for less than one year) for such companies are available between 7.5 and 9 per cent.
The Reserve Bank of India has convened a meeting of bank chairmen and managing directors on September 16 to discuss ways to formulate the benchmark prime lending rate, which is expected to be introduced by this month-end.
Housing Development Finance Corporation has increased loan rates by 75 basis points for new customers. It has hiked its prime lending rate (PLR) by 50 basis points to 14 per cent.
Housing Development Finance Corporation on Thursday said it would consider increasing the corporate lending rates but would not hike the interest rate on retail loans.
The State Bank of India on Saturday hiked its benchmark prime lending rate by 0.50 per cent from 12.25 per cent to 12.75 per cent.
State Bank of India has fixed its benchmark prime lending rate at 10.25 per cent, 0.25 per cent below the existing PLR, which is 10.5 per cent
Close on the heels of a cut in the interest rate on long term domestic deposits, State Bank of India is now contemplating a downward revision in its prime lending rates.
You would find NBFCs more willing to lend even if you have a poor credit score, says Adhil Shetty
Housing Development Finance Corporation, India's largest mortgage financier, today increased its retail prime lending rate by 50 basis points to 14.25 per cent. This is the first time HDFC is increasing its PLR in two years.
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