RBI HIKES REPO RATE HISTORY

INTRODUCTION TO RBI REPO RATE HISTORY-

as we understand that the RBI (reserve bank of India) holds the authority to print money as much as they want and is also the reason for the increasing rate of stagflation. to understand how RBi increases REPO rates please click here.

THE RESERVE BANK OF INDIA (RBI)- REPO RATES

The Reserve Bank of India (RBI) is responsible for setting the repo rate, which is the rate at which it lends money to commercial banks. Changes in the repo rate have a significant impact on the economy and can affect borrowing and lending rates for businesses and consumers.

HISTORY OF REPO RATES IN INDIA BY RBI

Here is a brief history of RBI’s repo rate from 2010 to 2021:

  • In 2010, the repo rate was raised from 4.75% to 5.0% in March, and then again to 5.25% in April.
  • In 2011, the repo rate was raised several times, starting at 6.5% in January and ending at 8.5% in October.
  • In 2012, the repo rate was cut several times, starting at 8.5% in January and ending at 7.75% in December.
  • In 2013, the repo rate was raised from 7.75% to 8.0% in September.
  • In 2014, the repo rate was cut from 8.0% to 7.5% in May, and then again to 7.25% in September.
  • In 2015, the repo rate was cut several times, starting at 7.75% in January and ending at 6.75% in September.
  • In 2016, the repo rate was cut several times, starting at 6.75% in January and ending at 6.25% in October.
  • In 2017, the repo rate was cut from 6.25% to 6.0% in August.
  • In 2018, the repo rate was raised several times, starting at 6.0% in June and ending at 6.5% in December.
  • In 2019, the repo rate was cut several times, starting at 6.5% in February and ending at 5.15% in October.
  • In 2020, the repo rate was cut several times in response to the COVID-19 pandemic, starting at 5.15% in February and ending at 4.0% in May.
  • In 2021, the repo rate was kept unchanged at 4.0% throughout the year.

It’s worth noting that the repo rate can change at any time based on the RBI’s assessment of economic conditions and inflationary pressures.

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