Dhanlaxmi Bank raises base rate by 50 bps

Private-sector lender Dhanlaxmi Bank said on Wednesday it has raised its base rate by 50 basis points to 8.75%, effective March 10.

It has kept benchmark prime lending rate unchanged at 17.25%, it said in a press release.

"This hike in base rate reflects tight monetary conditions and is in line with market trends," Bipin Kabra, chief financial officer, said in the release.

The change in base rate will be applicable to all new loans and existing floating rate loans linked to base rate, it said, adding in December 2010, the bank had raised its base rate and BPLR by 75 basis points each.