<h1>MPC Keeps Repo Rate at 4.0%, Maintains Accommodative Stance to Support Economic Recovery and Manage Inflation Amid COVID-19 Challenges.</h1> The Monetary Policy Committee (MPC) decided to keep the policy repo rate unchanged at 4.0%, with the reverse repo rate at 3.35% and the marginal standing facility rate at 4.25%. The MPC will maintain an accommodative stance to support economic recovery and mitigate COVID-19 impacts, while aiming to keep inflation within a 4% target. Global economic activity shows signs of recovery, though risks remain due to the pandemic. Domestically, economic activity is stabilizing, but GDP growth is projected to be negative for 2020-21. Inflation is expected to ease, and the rural economy is strengthening, while urban demand recovery lags.