<h1>RBI Cuts Repo Rate to 7.75%; Banks Lower Base Rates by Up to 50 Basis Points.</h1> The Reserve Bank of India reduced the Repo Rate by 25 basis points from 8.0% to 7.75% on January 15, 2015, under the liquidity adjustment facility. Since the implementation of the Base Rate System in July 2010, rupee lending rates have been deregulated, allowing banks to set interest rates with board approval. Following the rate cut, the median base lending rate of banks decreased by 5 basis points to 10.20% by February 23, 2015. Eight banks, including public, private, and foreign institutions, have lowered their base rates by 25-50 basis points. This information was provided by a government official in the Lok Sabha.