As a result of the decrease in the Reference Rate of the European Central Bank from 4.25% to 3.75%, HSBC Bank Malta p.l.c. is reducing its Home Loan Base Rate (HMLR) accordingly from 4.25% to 3.75%. The HMLR is the base for the Bank’s variable mortgage lending.

Reflecting the current market conditions, HSBC has adjusted its Base Rate for all other lending to 3.95%.

The revised base rates are effective as from Monday 13th October 2008.

HSBC Bank Malta p.l.c. has also reduced savings rates in line with the ECB rate cut, with the exception of the HSBC On Line Savings Account which has been retained at an attractive 3% p.a.. This is in line with bank policy to encourage use of electronic banking and its automated channels.