Mumbai: The Reserve Bank of India monetary policy committee (MPC), which determines interest rates, has raised policy repo rate by 35 basis points (bps) to 6.25 per cent with immediate effect. This decision was taken after three-day-long sessions that concluded on December 7.
RBI Governor Shaktikanta Das today announced that five out of six members of the MPC opted to go for a hike in the rate during the meeting. The MPC's hike in repo rate, the rate at which the RBI lends money to all commercial banks, is the fifth consecutive hike by the central bank, following a hike in October, 40 bps hike in May, 50 bps hike each in June, August and September.
