Change in Repo Based Lending Rate: effective RBLR revised to 8.35%

Bank of India has informed the exchanges that its Repo Based Lending Rate (RBLR) has been changed with immediate effect, i.e. 07.10.2026.

Wed 7 Oct 2026

Repo Rate

5.25% ➡️ 5.50%

Effective RBLR

8.10% ➡️ 8.35%

Change

(+) 25 bps

Bank of India has informed the exchanges that its Repo Based Lending Rate (RBLR) has been changed with immediate effect, i.e. 07.10.2026. The update states that the revision is on account of an upward revision in the Repo Rate announced by RBI in its monetary policy.

What changed

• Repo Rate: 5.25% as on 05-12-2025 to 5.50% with effect from 07-10-2026
• Mark up: 2.85% to 2.85%, No change
• Effective RBLR: 8.10% to 8.35%
• Change in the Repo Rate and in the Effective RBLR: (+) 25 bps

How the rate is put together

The RBLR is made up of the Repo Rate plus a mark up. The mark up is unchanged at 2.85%, so the movement in the Effective RBLR reflects the change in the Repo Rate. The comparison in the update is between the position as on 05-12-2025 and the position with effect from 07-10-2026.

What this means for borrowers

Loans that are priced with reference to the RBLR move with this benchmark. The benchmark has been revised upward, so the rate on loans linked to it moves up in line with the change.

What this means for investors

This is an interest rate update: the bank has set out the revised benchmark rate and its two components. How far the change feeds into the bank's overall interest income and margins depends on the share of loans linked to this benchmark and on the cost of deposits.

The update also states that the bank's RBLR has been changed to 5.50% with immediate effect. In the table, the Repo Rate is 5.50%, the mark up is 2.85% and the Effective RBLR works out to 8.35%.

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