RBI Monetary Policy: RBI keeps repo rate unchanged

RBI Monetary Policy: RBI keeps repo rate unchanged

The Reserve Bank of India (RBI), in its sixth bi-monthly policy review in February, kept the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 5.15%.

Consequently, the reverse repo rate under the LAF remains unchanged at 4.90% and the marginal standing facility (MSF) rate and the Bank Rate at 5.40%. 

The MPC also decided to continue with the accommodative stance as long as it is necessary to revive growth while ensuring that inflation remains within the target.  

These decisions are in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/- 2% while supporting growth.

The next meeting of the MPC is scheduled during March 31, April 1 and 3, 2020.  

Dr. Chetan Ghate, Dr. Pami Dua, Dr. Ravindra H. Dholakia, Dr. Janak Raj, Dr. Michael Debabrata Patra and Shri Shaktikanta Das voted in favour of the decision.  

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