India central bank holds steady, seeks to balance growth and inflation risks

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India central bank holds steady, seeks to balance growth and inflation risks
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The Reserve Bank of India (RBI) held rates steady on Thursday and retained an ac...

MUMBAI - The Reserve Bank of India held rates steady on Thursday and retained an accommodative policy stance as it sought to support faltering growth and avoid stoking already high inflation levels.

Economists polled by Reuters had expected the RBI’s Monetary Policy Committee to leave its key repo rate INREPO=ECI unchanged at 5.15% and reverse repo rate INRREP=ECI at 4.9%. Annual retail inflation surged to 7.35% in December, mainly driven by food prices and touched its highest level in more than five years.

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