India, Oct. 7 -- The Reserve Bank of India (RBI) has raised the policy repo rate by 25 basis points to 5.50 per cent, marking the first such increase since February 2023. The decision was announced by RBI Governor Sanjay Malhotra after the three-day Monetary Policy Committee (MPC) meeting on Wednesday. India

Following the rate hike, the Standing Deposit Facility (SDF) rate has been adjusted to 5.25 per cent, while the Marginal Standing Facility (MSF) rate and bank rate have been raised to 5.75 per cent. The move comes against a backdrop of increasing global and domestic inflationary pressures.

The RBI's decision reflects concerns over elevated crude oil prices, geopolitical tensions and changing global macroeconomic conditions. Economi...