The Reserve Bank of India on Thursday decided to keep policy rate unchanged for third time in a row as it maintains heightened vigil on inflation. RBI Repo Rate Update: Reserve Bank of India Maintains Pause for Third Time in a Row; Keeps Repo Rate Unchanged at 6.5%, Announces Governor Shaktikanta Das (Watch Video).
Observing that the COVID-19 pandemic has led to considerable human and economic costs setting countries back on their developmental goals, the latest review said, the year 2021 is thus a "catch-up" year for the global economy including India, trying to recover the pre-pandemic output level of 2019. India to Be Among A Few Economies to Rebound Strongly; Impact of New COVID-19 Variant Omicron to Be Less Severe, Says Finance Ministry Report.
In the last policy review in October, the RBI had kept the key lending rates unchanged for eight consecutive times. The repo rate, at which the RBI lends short-term funds to banks, was kept unchanged at 4 per cent. RBI Keeps Interest Rates Unchanged in New Monetary Policy, Continues Accommodative Stance.