NEW DELHI: The Reserve Bank of India (RBI) on Friday reduced repo rate by 25 basis points (bps) to 5.15 per cent. This is the fifth straight rate cut from the RBI and it results in an overall decline of 135 bps or 1.35 percentage point in the key lending rate.Reverse repo rate stood at 4.90 per cent. The central bank has maintained its "accommodative" stance. "The Reserve Bank will continue the 'accommodative' stance as long as it is required to revive the growth," RBI governor Shaktikanta Das said while briefing the media.Repo rate is the rate at which the RBI lends to banks, while reverse repo rate is at which it borrows from banks."These decisions are 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," the central bank said in a notification.When the RBI cuts rates, banks are expected to pass on the benefit to consumers and reduce interest rates on home, auto, personal or other loans which may result in lower EMIs (equated monthly instalments).With first quarter GDP (gross domestic product) growth plunging to 5 per cent, the RBI cut its estimate of economic growth in the current fiscal to 6.1 per cent from its earlier estimate of 6.9 per cent.The monetary policy committee (MPC) meeting comes in the backdrop of RBI's mandate to banks to link their loan products to an external benchmark, like repo rate, for faster transmission of reduction in policy rates to borrowers, from October 1.On inflation, which is the key mandate of the RBI with the target of 4 per cent in the medium term, the MPC moved up the September quarter expectations "slightly upwards" to 3.6 per cent, but retained its projection for the second half of this fiscal at 3.5-3.7 per cent.The next meeting of the MPC is scheduled during December 3-5, 2019.Read this story in Bengali