NEW DELHI: SBI, India’s largest public sector bank, has hiked its lending rates. There has been an increase of 25 basis points in interest rates across all tenures. The revised interest rates of SBI will come into effect from today. The hike will be applicable to EMI services as well.

After the RBI hiked the Repo rate, private and public sector banks in the country have been taking steps to increase interest rates on cash deposits. The RBI has implemented a rate hike of 2.25 percent from May 2022. As per the new rate hike, the one-month rate will go up from 7.75 percent to 8.00 percent. The rate for loans with a tenure of six months and one year has been increased from 8.05 percent to 8.30 percent. The rates for two-year and three-year loans have been hiked from 8.25 per cent to 8.50 per cent and from 8.35 percent to 8.60 percent respectively.

At the same time, it was reported that commercial banks in the country have written off more than Rs 10 lakh crore rupees as bad debts in the last five years. This is explained in the reply given by Minister of State for Finance Bhagwat Karad to John Brittas in the Rajya Sabha. Only 13 percent of the total bad debt was recovered. But the minister was not ready to give a clear reply as to who all extorted money from the banks in this way. The information of 25 people whose loan repayments were due was sought in the House. The minister said that their names cannot be revealed as per RBI rules. State Bank of India (SBI), India's largest loan provider, has written off Rs 1.65 lakh crore in the last five years.