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| Version 0 | Version 1 |
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| Rate cut by Indian central bank | Rate cut by Indian central bank |
| (11 minutes later) | |
| The Indian central bank has cut a key interest rate as it aims to boost the economy, which is slowing in the face of the global economic recession. | The Indian central bank has cut a key interest rate as it aims to boost the economy, which is slowing in the face of the global economic recession. |
| The repo rate - at which the Reserve Bank of India injects short-term money into the banking system - was cut by a quarter percentage point to 4.75%. | The repo rate - at which the Reserve Bank of India injects short-term money into the banking system - was cut by a quarter percentage point to 4.75%. |
| The move came as the central bank said it expected economic growth to slow to 6% in the current financial year. | The move came as the central bank said it expected economic growth to slow to 6% in the current financial year. |
| This is down from a revised 6.5% for the 12 months to 31 March. | This is down from a revised 6.5% for the 12 months to 31 March. |
| "Any upturn in the growth momentum is unlikely in view of the projected contraction in global demand during 2009, particularly the decline in trade," said the Reserve Bank of India (RBI). | |
| The RBI has now cut the repo rate six times since last October in attempt to boost the economy. | |
| Analysts said the reduction was largely expected. | Analysts said the reduction was largely expected. |
| "The RBI has delivered a token 25 basis points rate cut, essentially signalling to banks to lower their lending rates further," said Nomura economist Sonal Varma. | "The RBI has delivered a token 25 basis points rate cut, essentially signalling to banks to lower their lending rates further," said Nomura economist Sonal Varma. |