UCOBANKNSEUCO Bank· BanksLowNeutral
Announced Thu, 10 Jul · 16:57 IST

UCO Bank has informed the Exchange regarding 'Update on Benchmark rates of the Bank'.

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

UCO Bank's Asset Liability Management Committee (ALCO) has revised certain benchmark lending rates effective July 10, 2025. The TBLR (Term Benchmark Lending Rate) has been reduced across all tenors — 3-month from 5.80% to 5.40%, 6-month from 5.80% to 5.50%, and 12-month from 5.80% to 5.50%. The 1-year UCO G-Sec rate has also been marginally lowered from 5.68% to 5.60%, while the 10-year G-Sec yield has increased from 6.31% to 6.44%. Key rates such as MCLR (across all tenors), Repo Linked Rates (UCO Float and UCO Prime), Base Rate (9.60%), and BPLR (14.25%) remain unchanged.

Likely market impact

The reduction in TBLR rates is a routine revision and is likely to have a limited direct impact on the bank's profitability or stock price. Since MCLR and repo-linked rates — which govern most loan pricing — remain unchanged, lending yields are expected to stay stable. The upward move in the 10-year G-Sec yield is mildly positive for the bank's treasury income.