New Delhi, December 4: The Monetary Policy Committee of the Reserve Bank of India on Friday announced that the repo rate has been kept unchanged. The current repo rate stands at 4 per cent. The reverse repo rate stands at 3. 35 per cent. The RBI last changed policy rate on May 22. This is the third time in a row that the central bank has decided to maintain the repo rate at same value. India News | WPI Inflation at 8-month High of 1.48 Pc in Oct on Costlier Manufactured Items.

The decision comes in after the September quarter Quarter-2 GDP turned out to be better than RBI's earlier projections. GDP contracted by 7.5 per cent in the July-September quarter, lower than the central bank’s prediction of 8.6 per cent. The WPI inflation for October stood at 1.48 PC, an eight month high, while the retail inflation measured by CPI stood at 5.91 PC. Business News | Retail Inflation for Industrial Workers Rises to 5.91 Pc in October.

In the October monetary policy statement, the RBI had said the real GDP growth in 2020-21 was expected to be negative at (-)9.5 per cent, with risks tilted to the downside: (-)9.8 per cent in Quarter-2 2020-21; (-)5.6 per cent in Quarter-3; and 0.5 per cent in Quarter-4.

(The above story first appeared on LatestLY on Dec 04, 2020 10:27 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).