RBI keeps repo rate unchanged at 6.25 per cent

RBI keeps repo rate unchanged at 6.25 per cent

Mumbai: The Reserve Bank of India's monetary policy committee (MPC) voted unanimously to raise the reverse repo rate;the rate at which sucks out excess liquidity from the system by 25 basis points to 6 per cent. The repo rate, however, has been kept unchanged at 6.25 per cent. 

The panel noted that risks to the inflation trajectory are evenly balanced at the current juncture. The main upside risks come from the uncertainty surrounding the monsoon rains, the implementation of the seventh central pay commission award, and one-off effects from the goods and services tax.

Consequently, it voted to keep the policy rate (repo rate) unchanged while "persevering with a neutral stance," the panel's statement said.