UPDATE 3-India c.bank keeps rates on hold, moves to spur lending [Reuters (UK)]
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Source: Reuters
UPDATE 3-India c.bank keeps rates on hold, moves to spur lending | Reuters 5 Min Read * Repo rate held at 6.50 percent * RBI retains “calibrated tightening” stance * Cutting minimum bond holding ratio to spur bank lending * Bond yields fall as RBI lowers inflation projection (Adds comments on rift with govt, GDP details) By Swati Bhat and Suvashree Choudhury MUMBAI, Dec 5 (Reuters) - India’s central bank kept interest rates unchanged on Wednesday, in a decision that was widely expected as inflation has eased significantly, while it took steps to persuade banks to lend more in order to support an economy that has lost some momentum. “The time is apposite to further strengthen domestic macro-economic fundamentals,” the Reserve Bank of India (RBI) said in a statement following a monetary policy committee (MPC) meeting. The decision to keep the repo rate unchanged at 6.50 percent was as predicted by 64 of 70 analysts in a Reuters poll. The central bank also retained its ‘calibrated tighte
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