Reserve Bank of India Loosens Credit

Reserve Bank of India Loosens Credit

The governor of the Reserve Bank of India today loosened rules on credit and promised not to raise interest rates from the current 8% level as long as inflation continues to ease. The Bank’s policy review will put pressure on the new government to keep control of public spending and push through planned reforms to ensure that the nation’s economy gets back on track. Among other measures announced today, foreign investors will be allowed to participate in domestic exchange traded currency derivatives. Read the full story.