MUMBAI - The Reserve Bank of India on Friday unexpectedly slashed its key policy rate for a second time this year, in a move to counter the economic fallout from an ongoing nationwide lockdown to contain the spread of the novel coronavirus.
It cut the repo rate by 40 basis points to 4%. The reverse repo rate was also reduced by 40 basis points to 3.35%.
In a video conference, RBI Governor Shaktikanta Das said the central bank's Monetary Policy Committee (MPC) had voted to maintain its "accommodative" stance.
(Reporting by Swati Bhat and Chris Thomas; Writing by Euan Rocha; Editing by Shri Navaratnam)