The Reserve Bank of India, RBI, has raised Repo Rate and Reverse Repo Rate by 25 basis points each to 6.5% and 5.5% with immediate effect, in its first monetary policy review of 2011. It has kept the CRR (Cash Reserve Ratio) and SLR (Statutory Liquidity Ratio) unchanged at 6% and 24%, respectively.
The RBI also increased their inflation target for March 2011 from 5.50% to 7% and increased the GDP target to 8.50% for FY2011. Navneet Munot, CIO, SBI Mutual Fund commented, "The genie of inflation is out of bottle but RBIDiscover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
