RBI keeps repo rate unchanged at 8%
Concerned over impact of weak monsoonon food price, RBI on Tuesday decided to keep the key policy rate unchanged but slashed statutory liquidity ratio (SLR) by 0.5% to unlock about Rs. 40,000 crore into the system.
RBI Governor Raghuram Rajan, who has for the third time in a row kept the rate unchanged, said there are upside risks to inflation in view of uncertain monsoon and its impact on food production as also volatile international oil prices.