Punjab National Bank net up 31 percent, cuts lending rateOctober 31st, 2008 - 9:59 pm ICT by IANS
New Delhi, Oct 31 (IANS) The Punjab National Bank (PNB) posted a quarterly profit of Rs.7.1 billion ($157.1 million) recording a 31 percent growth over Rs.5.4 billion ($119.7 million) in the corresponding period last fiscal, it said Friday.The state-run bank also cut its benchmark prime lending rate (BPLR) by 50 basis points, following the lead of the Reserve Bank of India (RBI), which last week cut its key lending rate.
The bank’s new BPLR of 13.5 percent is effective Saturday, while the peak rate on deposits will be cut to 10 percent from Dec 1 onwards, PNB said in a statement.
The bank, in which the government holds a majority stake of 57.8 percent, said it currently had a capital adequacy ratio (CAR) of 13.64 percent as per Basel-II norms.
The bank’s scrip on the Bombay Stock Exchange (BSE) closed 4.6 percent higher at Rs.420.05, while the 30-share Sensex climed 8.22 percent during the day closing at 9,788.06 points.