India Keeps Rates Unchanged as Trade Uncertainty Looms

India’s central bank left its benchmark interest rate unchanged despite a benign inflation outlook, as policymakers opted for a wait-and-watch approach amid US President Donald Trump’s threats of additional tariffs on the South Asian nation.

The Reserve Bank of India’s six-member monetary policy committee, headed by Governor Sanjay Malhotra, voted unanimously to keep the repurchase rate steady at 5.50% on Wednesday, a move predicted by 23 out of 35 economists surveyed by Bloomberg. The central bank retained its policy stance at “neutral.”