BANKINDIANSEBank of India· BanksLowNeutral
Announced Wed, 31 Dec · 18:12 IST

Bank of India has informed the Exchange about Change in Marginal Cost of Fund Based Lending Rate (MCLR) w.e.f. 01.01.2026

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Bank of India has revised its Marginal Cost of Fund Based Lending Rate (MCLR) across all tenors, effective January 1, 2026. Overnight, 1-month, and 3-month MCLR rates have been reduced by 25 basis points each, bringing them to 7.70%, 8.05%, and 8.20% respectively. The 6-month, 1-year, and 3-year MCLR rates have been cut by 10 basis points each to 8.60%, 8.75%, and 8.90%. The Repo Based Lending Rate (RBLR), Fixed Rate Spread (FRS), and Base Rate remain unchanged. This is a periodic lending rate revision aligned with the broader interest rate environment.

Likely market impact

Lower MCLR translates to cheaper loans for borrowers, which can support loan demand and credit growth. However, it may also put mild pressure on the bank's net interest margins. For shareholders, this is a routine operational update with limited direct impact on stock price.