The Royal Bank of Scotland N.V. (RBS) today announced a 75 basis points cut in its base lending rate to 9% from 9.75%. The base rate is the benchmark to which all loan rates are linked.
RBS is the first foreign bank to reduce the benchmark rate after the Reserve Bank of India''s announced its third quarter monetary policy review today.
Brijesh Mehra, MD and Country Head, International Banking, RBS said, 'Today's move by the RBI to cut repo and CRR by 25 bps is in sync with our expectations. In line with the potential deflationary environment, RBS has decided to cut its base lending rate.'