India raises rates for first time in nearly four years
The Reserve Bank of India raised its policy rate by 25 basis points to 5.50%.
The move marked India's first rate increase in nearly four years, while the central bank shifted its policy stance from “neutral” to “calibrated tightening.”
Rising inflation pressures and strong economic growth contributed to the decision.
The RBI's shift toward tighter policy suggests additional rate increases could remain on the table depending on incoming economic data, while bond yields rose modestly and the rupee weakened slightly following the decision.
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