New Delhi: Union Finance Minister Arun Jaitley on Tuesday welcomed the RBI decision to reduce repo rates by 50 basis points to 6.75 percent.
Talking to reporters in New Delhi on Tuesday, Jaitley said, RBI rate cut actually implies that inflation pressure has moderated significantly and is now in comfort zone.
He said there is need to have a constant vigilance now on the inflationary front.
Jaitley said the government is committed to meeting fiscal deficit targets in order to consolidate the gains achieved by the contained inflation.
The minister said the decision by the RBI will significantly provide policies support to the real economy and help in the recovery process.
He expressed hope that the bank will now transmits of the rates cuts which will boost confidence and investments.