The Reserve Bank of India has kept the repo rate unchanged at 6.25 per cent. However, the Reverse Repo Rate has been raised to 6 per cent. Cash Reserve Ratio has remained unchanged at 4 per cent.
Marginal Standing Facility Rate cut by 25 basis points. Now it stands at 6.5 per cent. GVA growth is projected to be 7.4 per cent in 2017-18 as compared to 6.7 per cent in 2016-17.
D K Srivastava, chief policy advisor, Ernst And Young says, "This is along expected lines. Repo rate has not been changed because there is an upward risk to inflation that is being anticipated, while growth appears to be turning positive in RBI's view. They are basically focused on inflation. The main thing is that neutral stance is being maintained."