The Congress party criticized the Central Government after the Reserve Bank of India (RBI) raised the repo rate by 25 basis points to 5.50%. The party stated that this decision would further increase the financial burden on the population.
The RBI's Monetary Policy Committee unanimously approved this increase and changed its stance from neutral to 'calibrated tightening'. The reasons for this decision were stronger-than-expected economic growth rates and a general rise in prices.