MUMBAI: India’s central bank kept its benchmark interest rates unchanged yesterday, after three successive cuts, citing inflationary concerns and a weak rupee.
The Reserve Bank of India (RBI) said the benchmark repo rate, at which it lends to commercial banks, would be on hold at 7.25 percent. The cash reserve ratio — the percentage of deposits banks must keep with the central bank — was kept unchanged at 4 percent.
“Global economic activity has slowed and risks remain elevated,” said RBI governor Duvvuri Subbarao, explaining the decision.
AFP
