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Economy

The Reserve Bank of India's Monetary Policy Committee (MPC) has kept the policy repo rate unchanged at 5.25%. The committee observed that higher inflation was mostly on account of fuel and food, with little sign so far of a generalisation of price pressures. The status-quo decision reflects a cautious, wait-and-watch stance on rates.

Nabka Insight

The current repo rate and the MPC's reasoning are core monetary-policy exam facts.

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Key facts

  • Repo rate: 5.25% (unchanged)
  • Decision by: RBI Monetary Policy Committee (MPC)
  • MPC view: inflation mainly fuel and food; no broad generalisation

Background

Relevant forBanking · SSC · State PSC · UPSC

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