RBI leaves Repo Rate unchanged at 6.5% for the sixth time in a row
- IBJ Bureau
- Feb 09, 2024
The Reserve Bank of India (RBI) on Thursday opted to maintain the Repo Rate unchanged at 6.5 per cent for the sixth consecutive time.
The Repo Rate, which stands as the interest rate at which RBI lends to other banks, remains steady following the conclusion of the three-day RBI’s monetary policy committee meeting from February 6 to 8.
This decision is part of the RBI’s regular bi-monthly meetings aimed at determining various key financial parameters, including interest rates, money supply, inflation outlook, and other macroeconomic indicators.
In the announcement of the bi-monthly monetary policy, RBI Governor Shaktikanta Das stated that the Monetary Policy Committee (MPC) had chosen to keep the Repo Rate unchanged at 6.5 per cent.
Mr Das also highlighted the MPC’s commitment to monitoring food inflation to safeguard the benefits acquired.
With the Repo Rate staying the same, there probably will not be any immediate changes to loan EMIs.
The RBI’s decision to maintain the lending rate unchanged is perceived as an attempt to strike a balance between curbing inflation and supporting economic growth.
In response to the RBI's decision, experts in the financial sector have offered varied perspectives.