RBI keeps repo rate, CRR unchanged; cuts SLR by 50 bps.

The Reserve Bank of India (RBI) on Tuesday kept the repo rate unchanged at 7.75 per cent in its monetary policy review.
Here are key highlights:

 

 

>> Repo rate unchanged at 7.75 per cent.
>> CRR unchanged at 4 per cent.
>> SLR cut by 50 bps to 21.5 per cent.
>> Allows FIIs to invest in coupons even above limits.
Here's what the central bank said for the economy:
>> Inflation likely to be around 6% by Jan 2016.
>> Real GDP growth may rise 6.5% by FY16.
>> FY15 CAD seen at 1.3% of GDP.
Governor Raghuram Rajan says:
>> Further actions will be driven by data.
>> Have had relative exchange rate so far.
>> Guidance remains same as when rates were cut on January 15.
>> No significant data since January 15.
>> Need to see what steps government will take to control vegetable prices.
>> Looking for developments in disinflationary process, budget.