{"id":28241,"date":"2012-03-15T04:30:00","date_gmt":"2012-03-15T08:30:00","guid":{"rendered":"http:\/\/countingpips.com\/fx\/2012\/03\/15\/reserve-bank-of-india-holds-repo-rate-at-8-50\/"},"modified":"2012-03-15T04:30:00","modified_gmt":"2012-03-15T08:30:00","slug":"reserve-bank-of-india-holds-repo-rate-at-8-50","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2012\/03\/15\/reserve-bank-of-india-holds-repo-rate-at-8-50\/","title":{"rendered":"Reserve Bank of India Holds Repo Rate at 8.50%"},"content":{"rendered":"<div align=\"right\"><script type=\"text\/javascript\">\ntweetmeme_style = 'compact';\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/tweetmeme.com\/i\/scripts\/button.js\"><\/script><\/div>\n<p><span><span><span><span>The&nbsp;<\/span><\/span><a href=\"http:\/\/www.rbi.org.in\/home.aspx\">Reserve Bank of India<\/a><span><span>&nbsp;[RBI] held its repo rate at 8.50% and reverse repo rate at 7.50%, Bank Rate at 9.50% and Cash Reserve Ratio (CRR) at 4.75%. &nbsp;The RBI said: &#8220;Recent growth-inflation dynamics have prompted the Reserve Bank to indicate that no further tightening is required and that future actions will be towards lowering the rates. However, notwithstanding the deceleration in growth, inflation risks remain, which will influence both the timing and magnitude of future rate actions.&#8221;<\/span><\/span><\/span><\/span><\/p>\n<div><span><\/span><br \/><a name='more'><\/a><span>Th<\/span><span>e Reserve Bank of&nbsp;<a href=\"http:\/\/www.fundterms.com\/2010\/12\/emerging-market.html\">India<\/a>&nbsp;previously <a href=\"http:\/\/www.centralbanknews.info\/2012\/03\/reserve-bank-of-india-cuts-reserve.html\">cut the CRR<\/a> by 75 basis points to 4.75%, and last&nbsp;increased the&nbsp;<\/span><a href=\"http:\/\/www.centralbanknews.info\/2011\/09\/reserve-bank-of-india-hikes-repo-rate.html\">repo rate<\/a><span>&nbsp;by 25 basis points at its&nbsp;<\/span><a href=\"http:\/\/www.centralbanknews.info\/2011\/10\/reserve-bank-of-india-hikes-rate-25bps.html\">October<\/a><span>&nbsp;and September meetings, after hiking a surprise&nbsp;<\/span><a href=\"http:\/\/www.centralbanknews.info\/2011\/07\/india-central-bank-hikes-rate-50bps-to.html\">50 basis points<\/a><span>&nbsp;at its previous meeting to 8.00%, having increased&nbsp;<\/span><a href=\"http:\/\/www.centralbanknews.info\/2011\/06\/reserve-bank-of-india-raises-repo-rate.html\">25 basis points<\/a><span>&nbsp;in June, and 50 basis points during the&nbsp;<\/span><a href=\"http:\/\/www.centralbanknews.info\/2011\/05\/reserve-bank-of-india-hikes-rate-50bps.html\">May meeting<\/a><span>. &nbsp;India&#8217;s key&nbsp;inflation&nbsp;measure, the wholesale price index, increased just 7.57% in December, compared to 9.11% in November, 9.36% in October, 9.72% in September, 9.78% in August, 9.22% in July, 9.44% in June, 9.06% in May, 8.66% in April, and 8.98% year on year in March. &nbsp;<\/span><\/p>\n<div><span><span><br \/><\/span><\/span><\/div>\n<div><span><span>India reported annual GDP growth of 6.9% in the September quarter, down from 7.7% in the June quarter, and 7.8% in the March quarter this year, and 8.3% in the previous quarter. &nbsp;The RBI revised its growth projections down for 2011-12 to 7.6 percent from 8.0 percent previously, due to downside risks. &nbsp;The Indian&nbsp;Rupee&nbsp;(INR) has depreciated about 11% against the US dollar over the past year, while the USDINR&nbsp;<a href=\"http:\/\/www.centralbanknews.info\/p\/currency-regimes.html\">exchange rate<\/a>&nbsp;last traded around 50.22<br \/> <\/span><\/span><\/p>\n<div>\n<div>\n<div><span><span><a href=\"http:\/\/www.centralbanknews.info\/\">www.CentralBankNews.info<\/a><\/span><\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div><img loading=\"lazy\" decoding=\"async\" width=\"1\" height=\"1\" src=\"https:\/\/blogger.googleusercontent.com\/tracker\/8290544642025682538-5760344326600369772?l=www.centralbanknews.info\" alt=\"\" \/><\/div><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The&nbsp;Reserve Bank of India&nbsp;[RBI] held its repo rate at 8.50% and reverse repo rate at 7.50%, Bank Rate at 9.50% and Cash Reserve Ratio (CRR) at 4.75%. &nbsp;The RBI said: &#8220;Recent growth-inflation dynamics have prompted the Reserve Bank to indicate that no further tightening is required and that future actions will be towards lowering the &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.investmacro.com\/fx\/2012\/03\/15\/reserve-bank-of-india-holds-repo-rate-at-8-50\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Reserve Bank of India Holds Repo Rate at 8.50%&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-28241","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/28241","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=28241"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/28241\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=28241"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=28241"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=28241"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}