RBI hikes policy rate by 25 bps to 6.5%

The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on Wednesday hiked the repo rate by 25 basis points to 6.50 per cent.

Wednesday's MPC meeting is the last one for this fiscal.

The repo rate is the rate at which the RBI lends to the banks.

Announcing the hike, RBI Governor Shaktikanta Das said the MPC decided to hike the policy rate by 25 bps to 6.5 per cent.

As expected, there was a split in the rate hike decision with four members voting for the hike and two against.