New Delhi, June 5 -- Economists and industry experts largely welcomed the Reserve Bank of India's decision to keep the repo rate unchanged at 5.25 per cent, saying the central bank has balanced the need to support growth while remaining cautious about inflation and external risks arising from the ongoing West Asia crisis.

Many experts said the RBI's accompanying measures to attract foreign capital and strengthen external financing conditions were among the most significant announcements of the policy.

Radhika Rao, Senior Economist and Executive Director at DBS Bank, said the central bank had taken several steps to support capital inflows and stabilise the rupee.

She stated "Announcements included widening the universe of eligible bond ...