• share
• share
• share

Home buyers relax, RBI keeps repo rate steady

Mumbai: The Reserve Bank of India (RBI) on Friday kept the benchmark interest rates unchanged at 6.5 per cent for the seventh time in a row and flagged concerns over food inflation in view of IMD's prediction of above normal maximum temperatures during April to June.

As the RBI has held key policy rates steady, EMIs on home and auto loans are likely to remain stable for some more time.

The central bank has kept interest rates unchanged since February 2023. While unveiling the first bi-monthly monetary policy for the current financial year, the RBI has retained its growth and inflation forecast for the current fiscal at 7 per cent and 4.5 per cent, respectively.

"After a detailed assessment of the evolving macroeconomic and financial developments and the outlook, it (MPC) decided by a 5 to 1 majority to keep the policy repo rate unchanged at 6.50 per cent," RBI Governor Shaktikanta Das said.

He further said that the six-member Monetary Policy Committee (MPC) would remain focused on withdrawal of accommodation to ensure that inflation aligns to the target. (PTI)