The central bank has kept the Statutory Liquidity Ratio (SLR) unchanged at 20 per cent.
The Reserve Bank of India (RBI) cut repo rate by 25 basis points to 6 per cent in its latest monetary policy review, reducing the key policy rates for the first time in this fiscal as expected.
The revised repo rate now stands at 6 per cent and is the lowest in six-and-a-half years since November 2010. The revised reverse repo rate and the marginal standing facility rate will now stand at 5.75 per cent and 6.25 per cent, said a RBI statement.
The six-member Monetary Policy Committee (MPC) was headed by RBI Governor Urjit Patel.
"The decision of the MPC is consistent with a neutral stance of monetary policy 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 main considerations underlying the decision are set out in the statement below," the RBI said.
Further, the central bank has kept the SLR (Statutory Liquidity Ratio) unchanged at 20 per cent.
In its last monetary policy review in the month of June, RBI had kept the repo rate unchanged at 6.25 per cent in line with the expectations.
Wednesday, August 2, 2017