In a significant development in the Indian economy, the Reserve Bank of India (RBI) has decided to keep the repo rate unchanged at its current level of 4%. The decision came after the Monetary Policy Committee (MPC) meeting held recently. The repo rate is the rate at which the central bank lends money to commercial banks. This move is aimed at maintaining the accommodative stance to support economic growth amidst the ongoing challenges posed by the COVID-19 pandemic. The RBI also announced that the reverse repo rate will remain unchanged at 3.35%. The central bank has been proactive in implementing various measures to ensure liquidity in the financial system and support businesses and individuals affected by the pandemic. The decision to hold the repo rate steady is in line with the RBI’s efforts to revive economic growth while keeping inflation under control. The RBI Governor, Shaktikanta Das, highlighted the need for continued policy support to nurture a sustainable recovery and reiterated the central bank’s commitment to ensuring stability in the financial markets. The unchanged repo rate is expected to provide a boost to various sectors of the economy, including manufacturing, real estate, and consumer spending. Overall, the RBI’s decision is likely to have a positive impact on India’s economic outlook in the coming months.