RBI cuts interest rate by 35 bps, 4th in row

| | Mumbai
  • 0

RBI cuts interest rate by 35 bps, 4th in row

Wednesday, 07 August 2019 | PTI | Mumbai

RBI cuts interest rate by 35 bps, 4th in row

The Reserve Bank on Wednesday cut key interest rate for the fourth consecutive time, as it reduces repo rate by 35 basis points to 5.40 per cent to boost the slowing economy.

The six-member monetary policy committee (MPC) also maintained the accommodative stance on the monetary policy.

Noting that inflation is currently projected to remain within the target over a 12-month ahead horizon, the MPC said since the last (June) policy, domestic economic activity continues to be weak, with the global slowdown and escalating trade tensions posing downside risks.

It said that even as the past rate cuts are being gradually transmitted to the real economy, the benign inflation outlook provides headroom for policy action to close the negative output gap.

This is the fourth consecutive time that the RBI has reduced repo rate. In the earlier three policies, it has reduced repo rate by 25 basis points each.

The RBI also revised real GDP growth for 2019-20 downwards to 6.9 per cent from 7 per cent in the June policy.

CPI inflation is projected at 3.1 per cent for the second quarter of FY20 and 3.5-3.7 per cent for second half of FY20, with risks evenly balanced.

State Editions

RU launches Yoga department website

17 September 2019 | PNS | Ranchi

Rajasthani dolls to attract devotees at OOC Club

17 September 2019 | PNS | Ranchi

Sahibganj DC seeks State’s support in MMT Ops

17 September 2019 | Kelly Kislaya | Raipur

Infighting resurfaces in JPCC

17 September 2019 | Saurav Roy | Ranchi

BJP levels fresh charges on Hemant

17 September 2019 | PNS | Ranchi

New office bearers of FJCCI to be declared soon

17 September 2019 | PNS | Ranchi

Sunday Edition

The bare necessities Simple ideas that matter

15 September 2019 | Tim de Ridder | Agenda

Heal self For a better world

15 September 2019 | Sant Rajinder Singh | Agenda

Correct your self-image

15 September 2019 | Ajit Kumar Bishnoi | Agenda

Astroturf | Watch over your karma

15 September 2019 | Bharat Bhushan Padmadeo | Agenda

Talktime | ‘I felt like an actor after doing LSD’

15 September 2019 | MUSBA HASHMI | Sunday Pioneer

Pickle me pink

15 September 2019 | Shalini Saksena | Sunday Pioneer