New Delhi, June 6 -- The Reserve Bank of India's Monetary Policy Committee (MPC) has reduced the repo rate by 50 basis point. The third consecutive rate cut has brough the repo rate to 5.5 per cent.

RBI Governor Sanjay Malhotra, announcing the MPC's decision, said the move was based on a comprehensive assessment of current macroeconomic conditions.

Federation of Indian Micro and Small & Medium Enterprises (FISME) has welcomed the decision.

"With coming down to 3.7 per centdown from the 4 per cent, it was time RBI focused on growth which is under stress due to global tariff wars and disruptions owing to weather uncertainties",says Anil Bhardwaj, Secretary General of FISME.

"The Budget had put bold bets on growth by reducing income tax ...