ICICI announces reduction in prime lending rates
The Reserve Bank of India has recently announced a one percent cut in
the bank rate, two percent cut in repo rate and a half percent cut in
the CRR. Following these reductions market interest rates have shown a
downward trend.
ICICI has always been seeking to lower cost of resources so as to deliver
credit at a lower cost to Indian corporates. As a result of the recent
budgetary initiatives taken by the Ministry of Finance and the subsequent
announcement by the Reserve Bank of India (RBI), ICICI's borrowing costs
are expected to decline moderately. In line with its focus on delivering
value to its customers, ICICI has decided to provide the full benefit
of reduction in its borrowing costs to its clients. Accordingly, ICICI's
three-tier prime rate has been reduced by 50 basis points across the maturity
spectrum. The revised PLR's of ICICI, effective March 18, 1999 are given
below: -