repo rate

Repo Rate

The interest rate at which the central bank in a country repurchases government securities (such as Treasury securities) from commercial banks. The central bank raises the repo rate when it wishes to reduce the money supply in the short term, while it lowers the rate when it wishes to increase the money supply and stimulate growth.

repo rate

The rate of interest (annualized) on a repurchase agreement.
References in periodicals archive ?
The State Bank of India (SBI) (SBIN.NS) (500112.BO) (OTC: SBKJY) has become the first bank in India to link its short-term loans and large savings deposits rates to the Reserve Bank of India's (RBI) repo rate earlier this year, Business Today has reported online.
The Reserve Bank of India (RBI) in its third bi-monthly policy had reduced repo rate by 35 basis points from 5.75 per cent to 5.4 per cent from August 7.
Commenting on the monetary policy statement announced by RBI today, Mr Sandip Somany, President, FICCI said, "With benign inflationary conditions and weakening economic growth, industry had expected an accommodative stance from RBI and today's 25 bps cut in repo rate is a welcome move.
The Reserve Bank of India (RBI) has cut the repo rate by 25 basis points to 6 per cent today.
In a late Friday decision, the bankannounced that it has linked interest rate on savings account with a balance above Rs100,000 and short-term loans to the Reserve Bank of India's repo rate, effective from May 1.
Five out of the six-member Monetary Policy Committee (MPC) voted in favour of keeping the repo rate unchanged at 6.50 percent and the reverse repo rate at 6.25 percent.
The central bank increased its repo rate, at which it lends to commercial banks, to 2.25 percentage points and its reverse repo rate, at which commercial banks deposit money with the central bank, to 1.75 percentage points.
Hikes reverse repo rate but leaves repo rate unchanged to reduce gap
Abstract: This paper presents the empirical results of the volatility transmission of money market overnight repo rate along the yield curve in Pakistan.
KARACHI -- THE State Bank of Pakistan has linked the minimum return on bank deposits with its repo rate and set it at 50 basis points below the repo rate, effective from October 1.
average monthly repo rate made up 8.5%, having dropped by 0.3 pct points over Q2.
Cooling of interest rates should come as no surprise with wholesale price inflation easing to a 40-month low of 5.96% in March 2013, giving the Reserve Bank of India (RBI) leeway to reduce the repo rate by 25 basis points (bps) to 7.25% at the beginning of May 2013.