Indian Bank Revises Treasury Bills Linked Lending Rates Effective May 3, 2026
Indian Bank has revised its Treasury Bills Linked Lending Rates (TBLR) effective May 3, 2026, reducing rates by 5 basis points for tenors up to 6 months. The bank's MCLR, Base Rate, BPLR, Policy Repo Rate and RBLR remain unchanged at existing levels across all tenors.
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Indian Bank has announced a revision in its Treasury Bills Linked Lending Rates (TBLR) following a review by the Asset Liability Management Committee (ALCO). The revised rates will be effective from May 3, 2026, as disclosed under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
TBLR Revision Details
The bank has reduced TBLR for shorter tenors while maintaining rates for longer durations. The revised structure is as follows:
| Sl. No. | Tenor | Existing Rate (%) | Revised Rate (%) |
|---|---|---|---|
| 1 | <= 3 months | 5.30% | 5.25% |
| 2 | >3 months & <=6 months | 5.50% | 5.45% |
| 3 | >6 months & <=1 year | 5.60% | 5.60% |
| 4 | >1 year & <=3 Years | 5.60% | 5.60% |
The reduction of 5 basis points applies to tenors up to 6 months, reflecting adjustments in the bank's lending rate structure linked to treasury bills.
Unchanged Benchmark Rates
Indian Bank has confirmed that other key benchmark rates remain unchanged. The Marginal Cost of funds based Lending Rate (MCLR) across various tenors continues at existing levels:
| Sl. No. | Tenor | Rate (%) |
|---|---|---|
| 1 | Overnight | 7.90% |
| 2 | 1 month | 8.20% |
| 3 | 3 months | 8.40% |
| 4 | 6 months | 8.65% |
| 5 | 1 Year | 8.75% |
Additionally, the Base Rate and Benchmark Prime Lending Rate (BPLR) remain steady:
| Sl. No | Benchmark | Rate (%) |
|---|---|---|
| 1 | Base Rate | 9.55% |
| 2 | Benchmark Prime Lending Rate (BPLR) | 13.80% |
Other Benchmark Parameters
The Policy Repo Rate and Repo Linked Benchmark Lending Rates (RBLR) also remain unchanged:
| Sl. No | Benchmark | Rate (%) |
|---|---|---|
| 1 | Policy Repo Rate | 5.25% |
| 2 | Repo Linked Benchmark Lending Rates (RBLR) | 7.95% |
The announcement was signed by Dina Nath Kumar, AGM & Company Secretary, on May 2, 2026, and has been communicated to both the National Stock Exchange of India Limited and BSE Limited for dissemination.
Historical Stock Returns for Indian Bank
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.52% | -9.25% | -1.82% | -2.87% | +46.76% | +654.86% |
Will other public sector banks follow Indian Bank's lead in selectively reducing short-term lending rates?
How might this TBLR reduction impact Indian Bank's net interest margins in the upcoming quarters?
Could this rate cut signal Indian Bank's preparation for potential RBI policy rate changes in 2026?
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