Chennai, June 8 : Not belying the expectations, the Reserve Bank of India's Monetary Policy Committee (MPC) did not change the repo rate from 6.50 per cent.

Das said that GDP growth forecast for April-June (Q1FY24) has been retained at 7.8 per cent. For the second quarter, it has been retained at 6.2 per cent. In Q3, the GDP is expected to rise 6.1 per cent. 
In the last quarter, the Indian GDP is expected to grow 5.9 per cent. 

RBI MPC: Inflation projection lowered
The retail inflation forecast for FY24 has been lowered to 5.2 per cent from 5.3 per cent previously. 

In Q1FY24, consumer price index (CPI)-based inflation is expected to be 5.1 per cent. Earlier, it was 5 per cent. 
For Q2FY24, the inflation forecast has been retained at 5.4 per cent. In Q3 and Q4, the retail inflation forecast has been kept at 5.4 and 5.2 per cent respectively.

What is repo rate?
The repo rate, also known as the repurchase option, is the interest rate at which the RBI lends money to commercial banks against securities like treasury bills or government bonds.   

This rate is used by the RBI to control the liquidity in the economy. 
What is the MPC?

The monetary policy committee (MPC) is a six-member committee set up to determine the set of actions to control the money supply, inflation and economic growth in the country. 
Its current members are RBI governor Shaktikanta Das, Michael Debabrata Patra, Mridul Saggar, Jayanth R Varma, Ashima Goyal, and Shashanka Bhide.

The committee meets at least four times a year to come up with the monetary policy. However, it may also meet out of the cycle if it feels the need to do so. 
In May 2022, the MPC had made an out-of-cycle announcement to hike the repo rate by 40 basis points. This was done in the wake of rising inflation due to the war in Ukraine.