MUMBAI (Reuters) - The Reserve Bank of India (RBI) kept its key interest rate unchanged on Friday in a widely expected move as robust economic growth continues to provide space to focus on bringing down inflation towards its medium-term target of 4%.
The Monetary Policy Committee (MPC), which consists of three RBI and three external members, kept the repo rate unchanged at 6.50% for an eighth straight policy meeting.
All but one of 72 economists in a Reuters poll had expected the MPC to hold the repo rate steady at 6.50%. Most economists believe the 6.50% rate is the peak of the current monetary cycle.
The MPC last changed rates in February 2023, when the policy rate was raised to 6.50%. Annual retail inflation slowed slightly to 4.83% in April from 4.85% in March, but was still well above the MPC's target.
(Reporting by Swati Bhat and Sudipto Ganguly; Editing by Savio D'Souza)
