RBI cuts repo rate by 40 bps to 4% to increase credit flow

RBI cuts repo rate by 40 bps to 4% to increase credit flow

By / Business News / Friday, 22 May 2020 07:49
Mumbai, May 22, 2020: The Reserve Bank of India (RBI) on Friday reduced repo rate by 40 basis points to 4 per cent in an effort to further boost liquidity in the economy which has been reeling under the impact of COVID-19 induced countrywide lockdown. As a result, the reverse repo rate stands at 3.35 per cent, said RBI Governor Shaktikanta Das. The six-member monetary policy committee (MPC) voted 5:1 in favour of the decision. Repo rate is the rate at which a country's central bank lends money to commercial banks, and the reverse repo rate is the rate at which it borrows from them.

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Hum Hindustani

Hum Hindustani

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