RBI hikes repo rate by 25 bps. The repo rate is now at 6.25%. It has also hiked reverse repo rate to 6%. Monetary Policy Committee (MPC) keeps stance neutral, despite repo rate hike.
All the members of Monetary Policy Committee have voted in favor of rate hike. GDP growth is projected in the range of 7.5-7.6% in H1 and 7.3-7.4% in H2, with risks evenly balanced. April-September CPI seen at 4.8% to 4.9%.
Further, RBI had last raised the repo rate in January 2014, by 25 bps to 8.00%. After that, it had either cut rates or maintained the status quo.
