State Bank of India, the country's top lender, has cut its key lending rate, or base rate, by 5 basis points, R. Venkatachalam, deputy managing director at the bank, told Reuters on Wednesday.
The Reserve Bank of India cut a key policy rate by 25 basis points on Tuesday to help support an economy set to post its slowest annual growth rate in a decade.
"It worked out to only 5 basis points. We are passing on the entire benefit," Venkatachalam said.
Rate cuts to also depend on current account gap: RBI
Encourage long-term fixed products
Is Chidambaram's plan to create big banks feasible?
Toyota to recall 1 mln vehicles
Any currency war could put India in a tough spot