RBI says future action depends on government decisions
Budget and public-sector pay review are key factors in decision
The Reserve Bank of India (RBI) will only cut rates further when it is clear such a move would be sustainable, governor Raghuram Rajan told journalists today (February 2) as he unveiled the central bank's latest policy decision.
The RBI held its policy rate at 6.75%, and in a statement said inflation was expected to fall to the target rate of 6% for January 2016 before heading further down to 5% by April 2017.
The statement said India is now viewed as a "beacon of stability" because of the
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