<h1>Reserve Bank Cuts Repo Rate by 50 Basis Points to 6.75%; Maintains Accommodative Stance Amid Global Economic Weakness.</h1> The Fourth Bi-monthly Monetary Policy Statement for 2015-16 announced a reduction in the policy repo rate by 50 basis points to 6.75%, while keeping the cash reserve ratio unchanged at 4%. Liquidity measures include continued provision of liquidity under various repos. Global economic conditions have weakened, affecting emerging markets. In India, economic recovery is tentative, with subdued rural demand and uneven manufacturing growth. Inflation has dropped, but food inflation pressures remain. The Reserve Bank aims to maintain accommodative monetary policy while ensuring banks pass on rate cuts. Developmental policies focus on strengthening banking, broadening financial markets, and improving currency management.