SME loans up to Rs 1 lakh covered under the credit guarantee fund for micro and small enterprises will stand to benefit the most under these reductions.

SBI now offers lowest car loan from competitors like HDFC Bank, ICICI Bank. Interest Rates of these banks are respectively stands at 11.50 -12.25 % and 11.50 – 14.75%.

SBI spokesperson told, “The auto loans have been reduced by 75 bps and SME loans have been reduced by up to 200 bps, depending on the product category. The easing of rates is at the product level, so different loan products will see different changes.”

SBI car loan book of close to Rs 20,000 Cr, second to HDFC Bank that has an auto loan book of Rs 26,000 Cr. The SME loan book of the bank is over Rs 1,32,677 Cr. About 66.4 % of the book will stand to benefit with the reduction.

For now, SBI has not made any changes on home loan. But it is one of the few banks that allow customers the advantage of shifting to any of the new lower rates that it offers after paying a fee of 1 %.

The bank will also reprice part of its deposit base of Rs 10,00,965 Cr of which domestic deposits are Rs 9,41,432 Cr and deposits at foreign offices Rs 59,533 Cr. Of the deposit base, about 47 % are lower cost CASA deposits, worth Rs 4,47,358 Cr, for which the bank pays only 4.50 % interest. Retail term deposits, where the re-pricing will happen, account for 78.56 % of the total term deposits base of Rs 3,88,144 Cr.

SBI’s total advances are over Rs 8.69 lakh Cr, with domestic advances over Rs 7.3 lakh Cr. Large corporate advances are at Rs 1.23 lakh Cr, mid-corporate at Rs 1.66 lakh Cr, retail at Rs 1.75 lakh Cr and SMEs at Rs 1.3 lakh Cr.