Mumbai/New Delhi, June 5 -- Even as India's central bank paused interest rates despite raising its inflation forecast and lowering its growth outlook, it rolled out a sweeping package of measures to attract foreign capital as policymakers grapple with pressure on the rupee and heightened global uncertainty.

The six-member monetary policy committee (MPC) kept the repo rate unchanged at 5.25%, citing geopolitical risks, supply-chain disruptions and weather-related uncertainties.

Alongside the policy decision, the Reserve Bank of India (RBI), in a coordinated move with the Centre, widened overseas investors' access to government securities, eased investment restrictions for foreign portfolio investors (FPIs), and backed tax exemptions on s...