On 9 October 2024, RBI maintained the repo rate at what percentage for the tenth consecutive time?

Correct option is A

• Repo Rate: The repo rate is the interest rate at which the RBI lends short-term funds to commercial banks. Maintaining the rate influences borrowing costs and liquidity in the economy.

• Monetary Policy Stance: Shifting to a 'neutral' stance provides the RBI with flexibility to adjust rates as needed based on future economic conditions, particularly inflation trends.

• Inflation and Growth Outlook: The RBI's decision reflects its assessment of current macroeconomic indicators, including inflation and GDP growth, aiming to ensure price stability while supporting economic expansion.

Additional Information:

• Previous Rate Changes: The repo rate was last altered in February 2023, when it was increased by 25 basis points. 

• Future Projections: Economists anticipate that the RBI may consider rate cuts in early 2025, contingent on inflation trends and economic growth indicators.