The Reserve Bank of India (RBI) left key interest rates unchanged in its first bi-monthly monetary policy review Tuesday.
The repo rate or the interest that banks pay when they borrow money from the RBI to meet their short-term fund requirements, is left unchanged at 8 percent, while the reverse repo rate, or the interest that the RBI pays to commercial banks when they park their surplus short-term funds with the central bank, is adjusted to 7 percent.