News Desk: The Reserve Bank of India has taken big steps to curb inflation. After three years, the repo rate has been increased by 40 basis points. As a result, the new repo rate stands at 4.40%.
RBI Governor Shaktikant Das said “Rising inflation is becoming a burden on people. The decision to raise repo rate was taken to control inflation. The decision was taken to control food prices”.
Not only the repo rate, but also the cash reserve ratio has been increased by 50 basis points so that banks are more careful in giving loans than before. The RBI hopes that this will reduce the number of people buying luxury goods.
After this decision, the stock market crashed.