PNB Keeps Lending Rates Steady for May 1, 2026

Punjab National Bank (PNB) confirmed its key lending rates will hold steady starting May 1, 2026. The bank's Marginal Cost of Funds Based Lending Rates (MCLR) for all tenors, its Repo Linked Lending Rate (RLLR), and its Base Rate will remain unchanged. PNB's one-year MCLR is set at 8.75%, and its RLLR is at 8.10%.

Why This Matters for Borrowers and PNB

For borrowers with new loans pegged to these benchmarks, monthly payments (EMIs) will not change. This decision provides continuity in PNB's pricing approach and supports its projected net interest margin (NIM) profile. It signals the bank's current assessment of market conditions and its funding costs, maintaining predictability for its loan book.

Market Context

The Reserve Bank of India (RBI) has kept its policy repo rate unchanged at 6.50% since February 2023, contributing to a stable rate environment for banks. PNB's MCLR has been stable since its last revision in April 2026.

Competitive Landscape

Other major banks also show stable or near-stable rates. State Bank of India (SBI) set its one-year MCLR at 8.70% for April 2026. Bank of Baroda's one-year MCLR matched PNB's at 8.75% for April 2026. Canara Bank's one-year MCLR for April 2026 was slightly higher at 8.80%. PNB's static rate places it competitively among peers.

Key Lending Rate Figures

• One Year MCLR: 8.75%
• Repo Linked Lending Rate (RLLR): 8.10%
• Base Rate: 9.50%

What to Watch Next

Investors and borrowers will monitor future MCLR announcements from PNB and its competitors. Changes in the RBI's monetary policy stance and repo rate could influence future rate adjustments. PNB's loan growth and NIM performance will also be key indicators. Additionally, competitor rate changes and their impact on market share will be important to track.