RBI raises the key repo rate—the rate at which the central bank infuses liquidity in the banking system—by 25 basis points to 6.25%. Concurrently, the reverse repo rate adjusted to 6.0%, and the marginal standing facility (MSF) rate and the Bank Rate to 6.50%. CPI inflation forecast for 2018-19 revised to 4.8-4.9% in the first half and 4.7% in the second half, including the HRA impact. Projection for GDP growth for 2018-19 was maintained at 7.4%. GDP growth is projected in the range of 7.5-7.6% in first half and 7.3-7.4% in second half.

(Live Mint)