Photos: RBI Monetary Policy Review, Indian Rupee, BSE Sensex
Tue Oct 29 2013, 19:23 hrs
The RBI monetary policy stance and measures, Raghuram Rajan said, "are intended to curb mounting inflationary pressures and manage inflation expectations in a situation of weak growth.
The RBI left other interest rates unchanged, such as the cash reserve ratio (CRR) at 4 per cent, and mandatory holdings in government securities and other liquid assets as a solvency measure (SLR) at 23 per cent.
RBI has calibrated the window between the repo rate (7.75 per cent) and MSF (8.75 per cent) to 100 basis points, as stated in the September 20 mid-quarter monetary policy review.
In RBI's monetary policy review, Raghuram Rajan dampens Diwali fest, hikes interest (repo) rate.
BSE Sensex initially traded in a narrow range and surged after the RBI policy review to settle at 20,929.01, a gain of 358.73 points or 1.74 per cent.
Indian rupee today bounced back 21 paise, its biggest gain in more than two weeks, to close at 61.31 against the dollar after the RBI hiked a key interest rate to curb price rise and enhanced liquidity for banks.