The Reserve Bank of India (RBI) increased the repo rate and the reverse repo rate by 25 basis points, for the second consecutive time, to 6.50 and 6.25 percent, in its August bi-monthly monetary policy announced on Wednesday.
The CNBC-TV18 poll had suggested a close call in the decision to raise or pause the key policy rates.
RBI monetary policy meeting:
Sixty percent of the economists polled believed that there may be a 25 basis points (bps) rate hike, while the remaining expected a status quo.
Let's take a look at the central bank's commentary on inflation and gross domestic product (GDP).
The RBI has retained GDP growth projection for FY19 at 7.4 percent. GDP growth is projected in the range of 7.5-7.6 percent for the first half of the current fiscal and between 7.3-7.4 percent for the second half.
Factors Shaping Inflation Outlook
Risks To Inflation projection:
Read our full coverage on the RBI Monetary Policy here
First Published: IST