REUTERS - Reserve Bank of India Governor Raghuram Rajan surprised markets in his maiden policy review on Friday by raising interest rates to ward off rising inflation while scaling back some emergency measures recently taken to support the ailing rupee.
Rajan, who took office early this month amid India's worst economic crisis since 1991, increased the RBI's policy repo rate by 25 basis points (bps) to 7.50 percent, defying most forecasts that he would leave it on hold to bolster a sluggish economy.
The RBI reduced the marginal standing facility (MSF) rate to 9.50 percent, making it cheaper for banks to borrow. Since mid-July, the MSF has been widely been viewed as India's effective policy rate.
Here is a timeline on changes in the statutory liquidity ratio (SLR) since 1949.
RATE (PCT) EFFECTIVE DATE
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23.00 11-08-2012
24.00 18-12-2010
25.00 07-11-2009
24.00 08-11-2008
25.00 25-10-1997
31.50 29-10-1994
33.75 17-09-1994
34.25 20-08-1994
34.75 16-10-1993
37.25 18-09-1993
37.50 21-08-1993
37.75 06-03-1993
38.00 06-02-1993
38.25 09-01-1993
38.50 29-02-1992
38.50 22-09-1990
38.00 02-01-1988
37.50 25-04-1987
37.00 06-07-1985
36.50 08-06-1985
36.00 01-09-1984
35.50 28-07-1984
35.00 30-10-1981
34.50 25-09-1981
34.00 01-12-1978
33.00 01-07-1974
32.00 08-12-1973
30.00 17-11-1972
29.00 04-08-1972
28.00 28-08-1970
27.00 24-04-1970
26.00 05-02-1970
25.00 16-09-1964
20.00 16-03-1949
(Compiled by Neha Dasgupta; Editing by Clarence Fernandez)
