Mumbai (Maharashtra) [India], April 7 (ANI): The Reserve Bank of India (RBI) on Wednesday kept interest rates on hold and maintained an accommodative policy stance to nurture a fragile economic recovery after the three-day meeting of its monetary policy committee (MPC).
This came amid a sharp new wave of Covid-19 cases in several states and local lockdowns, reigniting uncertainty regarding economic outlook in the immediate term.
The repo rate and reverse repo rate thus remain unchanged at 4 per cent and 3.35 per cent respectively.
Repo is the rate at which RBI lends funds to commercial banks when needed. It is a tool that the central bank uses to control inflation. The reverse repo rate is the rate at which the RBI borrows from banks. (ANI)