India, June 6 -- The Reserve Bank of India lowered its interest rates by a sharper-than-expected 50 basis points on Friday, marking the third consecutive reduction as policymakers focused on propelling growth amid the softening inflation, but the central bank shifted its monetary policy stance to neutral signaling a pause ahead.
After the three-day meeting, the RBI Monetary Policy Committee, led by Governor Sanjay Malhotra, decided to cut the policy repo rate by 50 basis points to 5.50 percent.
Markets had anticipated only a quarter point reduction. The bank had reduced the repo rate by 25 basis points each in February and April.
Five members of the MPC voted to cut the rate by 50 basis points, while one member called for a quarter-point...