Reserve Bank of India hikes key interest rate to 6.25%

A man checks his phone outside the Reserve Bank of India (RBI) headquarters in Mumbai, India.- Reuters
A man checks his phone outside the Reserve Bank of India (RBI) headquarters in Mumbai, India.- Reuters

Mumbai - The reverse repo rate stands adjusted to 6.0 per cent.



By IANS

Published: Wed 6 Jun 2018, 1:53 PM

Last updated: Wed 6 Jun 2018, 10:30 PM

Following a cycle of rate cuts begun in January 2015, the RBI on Wednesday raised its key interest rate for the first time by 25 basis points to 6.25 per cent, a central bank announcement said.
"Consequently, the reverse repo rate under the liquidity adjustment facility (LAF) stands adjusted to 6.0 per cent, and the marginal standing facility (MSF) rate and the bank rate to 6.50 per cent," the Reserve Bank of India said.
"The decision of the Monetary Policy Committee (MPC is consistent with the neutral stance of monetary policy in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4 per cent within a band of +/- 2 per cent," it added.


More news from WORLD