In line with our expectations and infact most market participants, the Reserve Bank of India (RBI) kept the Repo rate unchanged and retained the accommodative stance.
The six-member MPC unanimously held the Repo rate unchanged at 4 per cent. This was the seventh consecutive time since May 22, 2020- when it was reduced from 4.4 per cent to 4 per cent on May 22, 2020-that the RBI kept the Repo rate unchanged at 4 per cent as also the Reverse Repo rate unchanged at 3.35 per cent. The Marginal standing facility (MSF) rate and the bank rate remained unchanged at 4.25 per cent.