The repercussions of the repo rate hike are being felt in all the banks across India. The newest bank to make a call on the interest rate modification is Punjab and National Bank (PNB). The public sector lender said it will take a view on revising the interest rates by the end of this month in the wake of hike in the short-term lending rate by quarter percent by the Reserve Bank of India.

"We will take a call on increasing deposit and lending rates by the end of this month. Our ALCO (Asset Liability Committee) would examine," Punjab National Bank Chairman and Managing Director K C Chakrabarty said.

Dr. Kamalesh Chandra Chakrabarty has been serving as Chairman & Managing Director of Punjab National bank (PNB) since June 2007. Earlier, he was Chairman & Managing Director of Indian Bank. In 2004, Dr. Chakrabarty was elevated to the post of Executive Director in Punjab National Bank and assumed charge as Chairman & Managing Director of Indian Bank on 9th June 2005. Presently, he is also director of United India Insurance Company Limited and member of Management Committee of Indian Bank Association.

This new announcement by Chakrabarty follows news of changes in the lending and depositing rates by many banks in the country.

Yesterday, Bangalore-based Vijaya Bank hiked deposit rates by 0.3 per cent to 8.8 per cent for maturity between 1-2 years. Earlier in the week, Bank of Baroda also said that its ALCO would meet to review the interest rates during this month.