RBI cuts repo rate by 25 bps for third time in 2019, Loans may get cheaper

mangaloretoday network

New Delhi, Jun 06, 2019 : The Reserve Bank of India on Thursday cut its benchmark repo rate by 25 basis points (bps). The rate cut, the third announced by the central bank in 2019, was anticipated by economists, Hindustan Times reported.

 

The change in repo rate, the rate at which the central bank lends money to commercial banks, will lead to lower interest rates on new bank loans.

India is among central banks across Asia shifting to looser monetary policy to boost their economies amid risks from the US-China trade war. Philippines, Malaysia and New Zealand eased last month, while Australia cut interest rates this week for the first time in almost three years.