The Reserve Bank of India (RBI) on Wednesday left the Repo rate unchanged and constant at 6.5% for the sixth consecutive time in a row as a part of its policy to keep inflation in check and at the same time stimulant growth in the Economy.
Five out of six members of the Monetary Policy Committee voted in favour of the repo rate decision. Monetary policy must continue to be actively disinflationary, RBI Governer Shaktikanta Das said in a statement. At the same time, the RBI Governor flagged concern over elevated debt raising serious concern in many countries, which will impact the global financial system.
RBI Governor also said Domestic economic activity remains strong and the growth momentum is expected to continue into the next financial year. The RBI has pegged real GDP growth for 2024-25 at 7%. The Governor also said that the debt of central and state governments are expected to moderate in years to come.
