Mumbai, Feb. 6 -- The monetary policy committee of the Reserve Bank of India (RBI) on Friday retained the repo rate at 5.25%, taking a pause after a 25 basis points (bps) cut in the December meeting.

A Mint poll of 10 economists showed that nine of the 10 respondents expect a pause at 5.25%, while one anticipated a 25-bps cut to 5%. One basis point is a hundredth of a percentage point. The MPC also held its stance at neutral, a move that allows it to move in either direction depending on incoming data.

"Overall the near term domestic inflation and growth outlook remain positive" quote from the governor.

The India-US trade deal that promises 18% tariffs instead of the present 50% has come as a relief for the central bank as it reduces t...