The Reserve Bank of India (RBI) on Friday hiked the repo rate by 50 basis points (bps) to 5.40 per cent with immediate effect, RBI Governor Shaktikanta Das said.

Earlier this year, the RBI had raised the repo rate – by 40 basis points (bps) in May and 50 bps in June. Today's hike takes the repo rate above pre-pandemic levels of 5.15 per cent.