Categories: Economy

RBI lets key interest rates stay low to spur growth

<p>
The RBI on Friday left key interest rates untouched at current levels, which are at a record low, in order to make enough money available in the banking system to led support to economic activities which are recovering after the devastating pandemic blow.</p>
<p>
The repo rate or RBI’s key short-term lending rate has been kept at 4% while the reverse repo rate at which it borrows from banks for the short-term remains at 3.35% after the monetary policy review meeting.</p>
<p>
The repo rate has now been reduced by 1.15 per cent since March last year to support the economy during the pandemic. Before that it had been cut by 1.35 per cent during 2019.</p>
<p>
RBI Governor Shaktikanta Das said the monetary policy committee (MPC) unanimously decided to keep rates on hold. He said that the economy’s growth outlook had improved and that inflation was expected to remain at around 5% which was within the RBI’s targeted range in the coming months.</p>

AddThis Website Tools
IN Bureau

Recent Posts

Taiwan bolsters combat readiness, prepares for ‘war of endurance’ against China threatTaiwan bolsters combat readiness, prepares for ‘war of endurance’ against China threat

Taiwan bolsters combat readiness, prepares for ‘war of endurance’ against China threat

Taiwan's military is prioritising combat readiness as a key aspect of deterrence due to escalating…

15 hours ago
“When every state is Viksit, India will be Viksit”: PM Modi at NITI Aayog Governing Council meeting“When every state is Viksit, India will be Viksit”: PM Modi at NITI Aayog Governing Council meeting

“When every state is Viksit, India will be Viksit”: PM Modi at NITI Aayog Governing Council meeting

Calling for an increase in the speed of development, Prime Minister Narendra Modi said on…

16 hours ago
Scottish Parliament opposes Chinese interference in Dalai Lama’s reincarnationScottish Parliament opposes Chinese interference in Dalai Lama’s reincarnation

Scottish Parliament opposes Chinese interference in Dalai Lama’s reincarnation

The Scottish Government has reaffirmed its commitment to supporting religious freedom and human rights for…

19 hours ago
Baloch American Congress President urges PM Modi to back Free Balochistan movementBaloch American Congress President urges PM Modi to back Free Balochistan movement

Baloch American Congress President urges PM Modi to back Free Balochistan movement

Tara Chand Baloch, the President of the Baloch American Congress and a former Cabinet minister…

19 hours ago
New study identifies blood molecules that could revolutionise teen depression diagnosisNew study identifies blood molecules that could revolutionise teen depression diagnosis

New study identifies blood molecules that could revolutionise teen depression diagnosis

In a groundbreaking study, researchers from McGill University have identified nine biological markers in the…

21 hours ago
India rebuts Pakistan’s disinformation on Indus Water Treaty at UNSCIndia rebuts Pakistan’s disinformation on Indus Water Treaty at UNSC

India rebuts Pakistan’s disinformation on Indus Water Treaty at UNSC

India, in a firm and unequivocal statement at the United Nations Security Council (UNSC), accused…

21 hours ago