RBI comfortable with repo rate vs CPI target rate - deputy governor
The Reserve Bank of India is "comfortable" with interest rates being "slightly" higher than its stated preference of having a difference between the repo rate and the inflation target of 1.75 percent, Deputy Governor Viral Acharya said on Wednesday.
The difference now stands at 2 percent, after the RBI cut the repo rate by 25 basis points to 6 percent, above the central bank`s inflation target of 4 percent.
"I think we are just slightly outside of the range of 1.75 percent and we are comfortable with that," Acharya said.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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