Waiting for the scheduled monetary policy meet in June would have meant losing time and opting for a stronger action, RBI Governor Shaktikanta Das told members of the MPC before they unanimously decided to go for an off-cycle hike in interest rate on May 4.
Indias central bank raised its key policy rate in a surprise move Wednesday, sending bond yields higher, as it intensified the battle against inflation thats outpaced its expectations for much of the year.
RBI hikes Repo rate by 40 bps: In a key announcement, Reserve Bank of India Governor Shaktikanta Das said that the key interest rate is increased by 40 basis points to 4.40 percent immediately.