India's central bank on Tuesday hiked its key rates by 50 basis points each in the 11th such exercise since January 2010 to tame inflation, setting the stage for commercial banks to raise their interest on personal and corporate loans.
The repurchase rate, or the interest levied on short-term borrowing by commercial banks, has been revised to 8 per cent from 7.5 per cent, while the reverse repurchase rate - the interest on short-term lending - was hiked to 7 per cent from 6.5 per cent.
