RBI leaves Repo rate unchanged, raises Reverse repo rate

The Reserve Bank of India (RBI) leaves benchmark interest rate (Repo rate) unchanged at 6.25% at its monetary policy review meeting today, while raising the reverse repo rate to 6% from 5.75%.

Key Details:

Cuts marginal standing facility to 6.5%

Narrows mon pol corridor

All 6 members of MPC voted in favor of decision

Underlying inflation pressures persist

RBI committed to reverting system liquidity to near neutrality

Will manage durable liquidity via open market operations

Meanwhile, USD/INR reverses a dip to 64.89 and now looks to regain 65 mark.