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RBI keeps repo rates unchanged, for this reason

But some of the analysts had also expected the central bank to hike the repo rate by 25 basis points or 0.25 per cent.

As per expectations, the Reserve Bank of India (RBI) on Friday kept the repo rate (key lending rate) unchanged at 6.5 per cent.

This is as per what the experts had forecasted.

But some of the analysts had also expected the central bank to hike the repo rate by 25 basis points or 0.25 per cent.

The reverse repo rate or the rate at which RBI borrows from commercial banks also remained unchanged at 6.25 per cent.

Anticipation of a rate hike had increased in the past month as oil prices climbed.

It was also expected as the rupee continued to slide and concerns on liquidity emerged.

The RBI had last raised interest rates in two successive policy reviews in August and June this year.

The RBI retained GDP growth estimate at 7.4 per cent for fiscal year ending in March 2019.

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RBI keeps repo rates unchanged, for this reason
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