Home » Business » India Hikes Interest Rates

India Hikes Interest Rates

By October 7, 2010 at 10:24 AM
Font size: Decrease font Enlarge font
India’s central bank raised a key interest rate for its short term loans to banks for the fifth time this year, signaling its intentions to fight against inflation, which rose by 8.5 percent in August.

 
The Reserve Bank of India raised the repo rate by a quarter percentage point to 6 percent and the reverse repo rate — the rate at which it borrows from commercial banks — by half percentage point to 5 percent.

In a statement, the bank said, “Inflation remains the dominant concern. Essentially, inflation rates have reached a plateau, but are likely to remain at unacceptably high levels for some months.”

India’s economic recovery is consolidating as the economy grew by 8.8 percent in August.

 

Subscribe to comments feed Comments (0 posted)

total: | displaying:

Post your comment

  • Bold
  • Italic
  • Underline
  • Quote

Please enter the code you see in the image:

Captcha
  • Email Email
  • Print Print

Tagged as:

Business | Magazine | October 2010

Rate this article

0
Submit Link

We are looking for the best Indian stories on the web. If you see something interesting, send us a link to the story.