Commonwealth Bank of Australia , the country's biggest lender, said on Friday it will raise its home loan variable interest rates by 25 basis points (bps), in line with the Reserve Bank of Australia's rate hike earlier in the week.

The new home loan rate will be effective from June 16, the bank said in a statement.

Westpac Banking Corp said on Tuesday it is raising its home loan variable rates by 25 bps, effective June 20. (Reporting by Echha Jain in Bengaluru; Editing by Nivedita Bhattacharjee)