Reserve Bank of India has kept the key interest rate unchanged for third time in a row. Announcing the bi-monthly monetary policy, RBI Governor Shaktikanta Das said the Monetary Policy Committee (MPC) unanimously decided to keep the repo rate unchanged at 6.5 percent. Repo rate is the rate at which the RBI lends money to commercial banks. Mr Das said, the standing deposit facility (SDF) rate remains at 6.25 percent and the marginal standing facility (MSF) rate and the Bank Rate at 6.75 per cent. RBI Governor said, the MPC also decided to remain focused on withdrawal of accommodation to ensure that inflation progressively aligns with the target, while supporting growth. RBI has revised the CPI inflation target for current fiscal to 5.4 per cent. RBI Governor projected real GDP growth for 2023-24 fiscal at 6.5 percent.
