USD/INR Price News: Indian rupee slumps to six-week lows at 73.90 as RBI holds rates at record lows

The Reserve Bank of India (RBI) board members announced their decision to keep the benchmark policy rates on hold at record lows amid rising concerns that the second wave of coronavirus pandemic could threaten the nascent economic recovery.

Key takeaways

The RBI kept the repo rate or its key lending rate steady at 4% while the reverse repo rate or its borrowing rate was left unchanged at 3.35%.

The MPC judged that monetary policy should remain accommodative till prospects of sustained recovery are well secured.

The MPC voted unanimously to keep rates steady and retain the accommodative monetary policy stance.