Indian Overseas Bank Reduces MCLR by 5 bps and EBLR by 25 bps Effective December 15, 2025

Indian Overseas Bank has announced significant reductions in its lending rates, making borrowing more affordable for customers. The bank's Assets and Liabilities Management Committee (ALCO) approved these changes during its meeting on December 11, 2025, with the new rates becoming effective from December 15, 2025.

MCLR Rate Revision

The bank has reduced its Marginal Cost of Funds based Lending Rate (MCLR) by 5 basis points across multiple tenors. The ALCO reviewed the MCLR workings as of December 10, 2025, before implementing these changes.

Tenor	Existing MCLR (%) w.e.f 15.09.2025	Revised MCLR (%) w.e.f 15.12.2025	Change
Overnight MCLR	8.30	8.30	No Change
One-Month MCLR	8.30	8.30	No Change
Three-Month MCLR	8.45	8.40	(-) 5 bps
Six-Month MCLR	8.70	8.65	(-) 5 bps
One Year MCLR	8.85	8.80	(-) 5 bps
Two Year MCLR	8.85	8.80	(-) 5 bps
Three Year MCLR	8.90	8.85	(-) 5 bps

External Benchmark Lending Rate Adjustment

Following the Reserve Bank of India's decision to cut the repo rate by 25 basis points during the Monetary Policy Committee meeting held from December 3-5, 2025, Indian Overseas Bank has aligned its External Benchmark Lending Rate (EBLR) accordingly. The ALCO decided to reduce the EBLR by 25 basis points after deliberation.

Benchmark	Existing Rate w.e.f 12.06.2025	Revised Rate w.e.f 15.12.2025
Repo Linked Lending Rate (RLLR)	8.35%	8.10%

Implementation Timeline

Both the MCLR and EBLR revisions will be implemented simultaneously on December 15, 2025. The bank communicated these changes to the stock exchanges under Regulation 30 of SEBI (LODR) Regulations, 2015, ensuring transparency with stakeholders. These rate reductions are expected to benefit borrowers across various loan categories linked to these benchmark rates, providing relief in the current interest rate environment.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.26%	-8.21%	-15.28%	-6.75%	-36.12%	+226.83%

Indian Overseas Bank Announces Changes in Directorate

Indian Overseas Bank has recently announced significant changes in its directorate, as reported in the latest corporate action news.

Key Changes

The bank has appointed new directors to its board.
These appointments are part of the bank's ongoing efforts to strengthen its leadership team.

Implications

Changes in directorate may potentially impact the bank's strategic direction and governance.
Investors and stakeholders may want to monitor how these new appointments might influence the bank's future policies and performance.

Next Steps

Shareholders and market analysts will likely be interested in learning more about the backgrounds and expertise of the newly appointed directors.
It will be important to observe any potential shifts in the bank's strategy or operational focus following these changes.

As this is a significant corporate action, stakeholders are advised to keep a close watch on any further announcements or disclosures from Indian Overseas Bank regarding these directorial changes.