Mumbai, Apr 17: The Reserve Bank of India on Tuesday announced cuts in its key interest rates.
The RBI cut its repo rate from 8.50 percent to 8 percent. People can now expect home and car loans to get cheaper.
The RBI left the cash reserve ratio (CRR) unchanged as the share of deposits that banks must hold with the central bank will continue to remain at 4.75 percent.
The announcement of rate cut came at the RBI’s annual monetary policy for 2012-13, which is the first one in the last three years.
The central bank had earlier hiked the policy rates 13 consecutive times between March 2010 and October 2011.
It was in April 2009 that the apex bank had last reduced its key policy rates by 25 basis points. (ANI)