Giving hope & happiness to many home buyers, Reserve Bank Governor Raghuram Rajan, cut the benchmark repo rate by 25 basis points, as expected. Here are few pointers on the same:
- This is RBI’s first rate cut in 6 months that has sent interest rates to over 5-Year Low.
- RBI retained its accommodative stance, raising prospect of more rate cuts.
- Dr. Rajan today stressed that the RBI will ensure that lenders pass on the benefits of lower interest rates to borrowers.
- Retail lending, including home and car loans are soon to become cheaper.
- RBI increases Reverse Repo by 25bps to 6% on account of new rate corridor.
Source: The Financial Express