"The decision of the Monetary Policy Committee is consistent with the stance of calibrated tightening of monetary policy in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4 per cent within a band of +/-2 per cent, while supporting growth," RBI said.
The central bank also retained the GDP growth projection for FY19 at 7.4 per cent. For the first half of 2019-20, the GDP is been projected at 7.5 per cent.
RBI said inflation in the second half of the current fiscal is projected at is projected at 2.7-3.2 per cent. While the decision on keeping the policy rate unchanged was unanimous, Ravindra H Dholakia voted to change the stance to neutral.