India’s central bank on Tuesday left its benchmark interest rate unchanged at 8 percent in a widely anticipated move.
If inflation continues on its intended path, further policy tightening is not anticipated in the near term, the Reserve Bank of India said in a statement.
The country’s consumer price inflation eased to 8.10 percent in February from a year earlier, near the 8 percent target the RBI has for January 2015.
Since taking office in September, RBI Governor Raghuram Rajan has raised the repo rate three times by a total of 75 basis points.
India’s benchmark index declined 0.2 percent following the decision. Earlier in the session, the index hit a fresh record high of 22,485 points.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.