BusinessRBI Raises Repo Rate to 5.50% Amid Rising Inflation Risks
The Reserve Bank of India increased the repo rate by 25 basis points to 5.50%, the first hike since February 2023. The Monetary Policy Committee shifted from a Neutral to Calibrated Tightening stance due to rising inflation risks despite strong economic growth. Global challenges like the West Asia conflict and trade uncertainties also influenced the decision, with RBI raising its FY27 inflation forecast to 5.2%.
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