PNB hikes base rate and BPLR; reports over Rs1,200-crore Q4 net profit

The country's second largest public sector lender, Punjab National Bank (PNB),  today announced a 50 basis point mark-up in its base lending rate to 10.00 per and a similar hike in its benchmark prime lending rate (BPLR) to 13.50 per cent.

Both revisions are effective 1 May 2011, PNB said in a release.

The move follows the Reserve Bank of India's recent decision to hike policy rates and is in tune with the rising yields of market instruments, the PNB release said.

PNB had earlier increased its base lending rate and the BPLR to 9.5 per cent and 13 per cent, respectively, from 9 per cent and 12.50 per cent.

PNB also announced an increase in interest rates on domestic term deposits by 25 to 100 basis points across various maturities. PNB's peak rate on single domestic retail term deposit will now be 9.25 per cent for maturity period of 1,111 days.

Meanwhile, PNB reported a 5.8 per cent increase in its fiscal fourth quarter net profit at Rs1,200.9 crore against a net profit of Rs1,135 crore during the January-March quarter of the previous fiscal.