New Delhi, Oct. 23 -- Bank of India expects its global net interest margin (NIM) to rise to around 2.55% in the second half of fiscal year 2027 (FY27) from 2.47% in the September quarter, as lending rates reprice faster than deposit costs following the Reserve Bank of India's 25-basis-point repo rate hike, the bank said during its press conference.

NIM measures the difference between the interest a bank earns on loans and investments and what it pays on deposits and borrowings.

The bank said 66% of its advances are linked to external benchmarks, allowing it to pass on the latest rate increase immediately. Deposit rates, however, are expected to reprice more slowly, with around 60% of the bank's term deposits in the 12-18 month maturity ...