India resorts to fifth key rate cut this year to spur faster growth
The Reserve Bank of India decided today to cut the repo or the repurchase rate by 25 basis points from 5.40% to 5.15%, dpa INS English reported. This is the fifth key rate cut implemented this year as the bank remains worried by the GDP growth slowdown. The latter reached 5% y/y in Q2 this year, but this was the slowest growth registered for the past more than six years, DPA noted. The RBI respectively lowered its 2019 GDP growth forecast to 6.1%, from earlier 6.9%.
RBI governor Shaktikanta Das commented the RBU remains ready to loosen monetary policy further in order to boost economy as long as inflation remains within the target, DPA added.Original source: DPA