RBI Hikes Repo Rate By 50 Bps To Tame Inflation; Repo Rate At 5.40%
To tackle high inflation in the country, RBI's monetary policy committee has raised the repo rate by 50 bps, to 5.40%. Notably, the new repo rate is higher than that of pre-pandemic levels, which was 5.15%. Notably, demand in the economy is typically suppressed by increasing interest rates. The move "might have an immediate impact on home buying for short term," said Ramani Sastri, chairman and MD at Sterling Developers.