India Monetary Policy


Central Bank remains on hold unexpectedly

At its last policy meeting on 18 June, the Reserve Bank of India (RBI) left the repo rate unchanged at 8.00% and the reverse repo rate at 7.00%, in a decision that surprised the market, which had widely anticipated a 25 basis-point cut. The Bank also left the cash reserve ratio unchanged at 4.75%. According to RBI, although latest data point to a deterioration in global macroeconomic and financial conditions, the Bank had already


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India Monetary Policy Chart

India Monetary Policy May 2012

Note: Reserve Bank of India (RBI) Repo Rate in %.
Source: Reserve Bank of India (RBI).

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