RBI hikes repo rate by 25bps

The RBI today hiked the reverse repo rate by 25bps to 5% from 4.75% w.e.f April 29, 2005.

"The repo rate will continue to be linked to the reverse repo rate. However, the spread between the reverse repo rate and the repo rate is reduced by 25 bps from 125 basis points to 100 basis points with
effect from April 29, 2005.

"Accordingly, the fixed repo rate under LAF will continue to remain at 6%," the statement said..

The Bank Rate and CRR have been left unchanged at 6% and 5%, respectively.