RBI cuts repo rate by 50 bps to 5.5%, EMIs for car and house loan reduced

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New Delhi: Reserve Bank of India (RBI) has cut repo rate by 50 basis points. The RBI has reduced the repo rate for the third time in a row, said reliable reports.

According to reports, after the 50 basis points cut, the repo rate has been reduced from 6 percent to 5.5 percent. The RBI Governor Sanjay Malhotra has informed the same at a presser held on Friday.

Due to the repo rate cut, various EMIs including home and car loans will be reduced. The Reserve Bank of India has cut the repo rate three times in a row since last February. Earlier, RBI cut repo rate by 25 basis points each.

The 55th meeting of the Monetary Policy Committee was held against the backdrop of an early and promising start of the monsoon season.
This is of vital significance for the Indian economy. In contrast, the global backdrop remains fragile and highly fluid. There is stability on all fronts in India’s growth, inflation, and domestic demand are improving. Indian eco provides an immense opportunity for investors.

According to the Ministry of Statistics and Programme Implementation, India’s retail inflation fell to 3.16 per cent in April, compared to 3.34 per cent in March. The decline in inflation has brought it below the Reserve Bank’s comfort level of 4 per cent, leading to expectations that the central bank may take a softer stance on interest rates.

In the last MPC meeting held on April 7, 8, and 9, the RBI had already reduced the repo rate by 25 basis points, bringing it down from 6.25 per cent to 6 per cent. (With Inputs From: ANI)

Also Read: Nifty, Sensex open flat ahead of RBI policy decision; broader indices gain, sectoral trend mixed

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