MPC: RBI hikes Repo Rate by 50 basis points to 5.9%

New Delhi: The Reserve Bank of India increased the Repo rate to 5.9%, the rate at which RBI lends money to commercial banks, has been hiked by 50 basis points again. Considering the prevailing adverse global environment, resilience in domestic economic activity, and uncomfortably high inflation level, the RBI has hiked the policy repo rate by 50 basis points, to 5.40%.

Consequently, the standing deposit facility (SDF) rate stands adjusted to 5.65%, and the marginal standing facility (MSF) rate and the Bank Rate to 6.15%. 

The Monetary Policy Committee has decided to remain focused on the withdrawal of accommodation to ensure that inflation remains within the target going forward, while supporting growth, stated RBI Governor Shaktikanta Das.