The Reserve Bank of India (RBI), has cut the repo rate and reverse repo rate by 100 basis points (bps), each to 6.5% and 5% respectively. (100 bps = 1%)
The CRR, or cash reserve ratio and SLR, or statutory liquidity ratio have been left unchanged. The RBI Governor, D Subbarao, said reverse repo and repo rate cut will signal banks' lending rates cut.
Subbarao said, India’s Gross Domestic Product or GDP growth has moderated in first-half of 2009, and assured that liquidity situation more than comfortable. However, decline in inflation is sharper than expected and fuel price cut should further ease inflationary pressure.
The Governor said first time in seven years exports have declined in absolute terms, adding that emerging economies will be affected only marginally.
Popular Posts
-
Benefits Of The 1031 Tax Exchange For Property Investors https://flic.kr/p/iQok7n If you’re a property investor - or are consid...
-
The Nifty India Manufacturing Index includes companies from the Nifty 100, Nifty Midcap 150 and Nifty Smallcap 50 Index from eligible basic...
-
Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers.... -
What is Nifty Bees? Nifty BeES, the first ETF in India, was introduced by Benchmark Asset Management Company in 2002 and currently m... -
Nifty 50 PR 2x Leverage Index. Nifty 50 Price Returns 2x Leverage Index is designed to generate multiple time return of the underlying index...
