RBI increases repo rate by 25 basis points to 6.5 per cent
The Reserve Bank of India(RBI) today hiked repo rate by 25 bps to 6.50 per cent.
WATCH Live from Mumbai: RBI Governor Urijit Patel addresses the media https://t.co/KtBDOG8mGx— ANI (@ANI) August 1, 2018
The reverse repo rate under the liquidity adjustment facility(LAF) now stands adjusted to 6.25% and marginal standing facility rate and Bank rate to 6.75%.
RBI said crude oil prices have moderated slightly, but remain at elevated levels.
RBI's Monetary Policy Committee(MPC) said it wants to maintain headline inflation at 4 per cent, adding that volatility in the global market continues to lead to uncertain inflation situation in the country.
It said the inflation needs to be carefully monitored over the next few months.
The bank projected India's GDP growth for Q1FY20 at 7.5 per cent.