The six-member rate-setting panel voted unanimously to 'pause on the repo rate for this meeting only' with a 'readiness to act should the situation so warrant'
Reserve Bank of India (RBI) Governor Shaktikanta Das and deputy governor Michael Patra attend a news conference after a monetary policy review in Mumbai, India, April 6, 2023.
Image: Francis Mascarenhas / Reuters
In a surprise move, all six members of the Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) decided to keep the key lending rate unchanged at 6.5 percent, and five out of six members voted for a continued focus on withdrawal of accommodation. Intriguingly, the central bank bucked consensus as it marginally trimmed its inflation forecast and raised its growth outlook—by 0.1 percent to 5.2 percent and 6.5 percent respectively—even as headline inflation remains elevated beyond 6 percent in a highly volatile and uncertain global economy.