India's central bank has maintained its benchmark rates for the eighth consecutive session, as anticipated.
The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC), led by Governor Shaktikanta Das, voted 4-2 to keep the policy repo rate at 6.50 percent.
Additionally, the MPC decided to continue its focus on the withdrawal of accommodation to ensure that inflation gradually aligns with the target while fostering economic growth.
The central bank revised its growth forecast for 2024-25, increasing it from 7.0 percent to 7.2 percent.
"Should the projected GDP growth of 7.2 percent for 2024-25 come to fruition, it will mark the fourth consecutive year of growth at or above 7 percent," said Governor Das.
Das noted that the headline consumer price index remains on a disinflationary path, although recurrent food price shocks have hindered the overall disinflation process.
The CPI inflation forecast for 2024-25 remains steady at 4.5 percent.
