RBI Keeps Repo Rate Unchanged At 4%

The Reserve Bank of India (RBI) on Friday kept the repo rate unchanged at 4 per cent and maintained the policy stance at accommodative.

The RBI’s Monetary Policy Committee (MPC) made a unanimous decision to maintain status-quo after a three-day meeting that began on December 2.

The reverse repo rate also remains steady at 3.35 per cent, RBI Governor Shaktikanta Das said. He added that the MPC will maintain the accommodative stance “for as long as necessary.”

Das said the MPC was of the view that inflation is likely to remain elevated with some relief in the winter months from prices of perishables and bumper kharif arrivals.

Repo is the rate at which RBI lends funds to commercial banks when needed. It is a tool that the central bank uses to control inflation. Reverse repo rate is the rate at which the RBI borrows from banks.

While there are some signs of a pick up in economic activity due to the staggered easing of a lockdown, there is a large degree of uncertainty amid a surge in coronavirus cases. (ANI)

0 0 votes
Article Rating
Notify of
Inline Feedbacks
View all comments

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.

Privacy Settings saved!
Privacy Settings

When you visit any web site, it may store or retrieve information on your browser, mostly in the form of cookies. Control your personal Cookie Services here.

These cookies are essential in order to enable you to move around the website and use its features. Without these cookies basic services cannot be provided.

Cookie generated by applications based on the PHP language. This is a general purpose identifier used to maintain user session variables. It is normally a random generated number, how it is used can be specific to the site, but a good example is maintaining a logged-in status for a user between pages.

Used on sites built with Wordpress. Tests whether or not the browser has cookies enabled
  • wordpress_test_cookie

In order to use this website we use the following technically required cookies
  • wordpress_test_cookie
  • wordpress_logged_in_
  • wordpress_sec

Decline all Services
Accept all Services
Would love your thoughts, please comment.x