Mumbai, Dec. 6 -- In a surprise move, the Reserve Bank of India (RBI) on Thursday took a 'temporary pause' in reducing key lending rates to keep the retail inflation in check.
Accordingly, the RBI's monetary policy committee (MPC) in its fifth review of the current fiscal kept the repo, or short term lending rate for commercial banks at 5.15 per cent.
Consequently, the reverse repo rate was maintained at 4.90 per cent, and the marginal standing facility (MSF) rate and the bank rate remained at 5.40 per cent.
The Reserve Bank had reduced key lending rates during the last five policy reviews to reverse the current consumption slowdown that has plagued the country's economy, thus surprising India Inc and many economists.
However, the Reser...