New Delhi:The Reserve Bank of India on Tuesday kept its policy rates unchanged.
The repo rate will continue to be at 7.25 per cent and the cash reserve ratio will remain 4 per cent.
Mr. Rajan said significant uncertainty on the factors influencing the monetary policy will be resolved in the coming months, including persistence of high inflation, monsoon as well as actions by the US Federal Reserve.
He reiterated that the accommodative stance of the RBI adopted this year was based on factors like transmission of RBI cuts by banks into their lending rates, food prices and monsoon, action from the government on the supply side and signs of normalisation in the U.S.
The RBI also retained growth target at 7.6 per cent for 2015-16.