RBI UPS CRR, REPO RATE TO CHECK INFLATION

Reserve Bank of India (RBI) raised the Cash Reserve Ratio (CRR) by 50 basis points to 6.5 % from April 28 and the repo rate by 25 basis point to 7.75 % with immediate effect. With this, the central bank has raised the CRR thrice, by 150 basis points, and the repo rate five times, by 125 basis points, in the current financial year. The RBI will also reduce the interest on CRR balances from 1 % to 0.5%.