The graph given below indicates the changes in key policy rates made by the Central Bank several times in a year :
Key policy rates in %
Date Repo Rate (%) CRR (%) Reverse Repo Rate (%) Jul 2 5.50 6.00 4.00 Jul 27 5.50 6.00 4.00 Sep 16 6.00 6.00 5.00 Nov 2 6.25 6.00 5.25 Dec 16 6.25 6.00 5.25 Jan 25 6.25 6.00 5.25 Mar 17 6.50 6.00 5.50 May 3 7.25 6.00 6.00 Jun 16 7.50 (+25) 6.00 (0) 6.50 (+25)
Which one of the following can be the most likely reason for the Central Bank for such an action?
The graph given below indicates the changes in key policy rates made by the Central Bank several times in a year :
Key policy rates in %
| Date | Repo Rate (%) | CRR (%) | Reverse Repo Rate (%) |
|---|---|---|---|
| Jul 2 | 5.50 | 6.00 | 4.00 |
| Jul 27 | 5.50 | 6.00 | 4.00 |
| Sep 16 | 6.00 | 6.00 | 5.00 |
| Nov 2 | 6.25 | 6.00 | 5.25 |
| Dec 16 | 6.25 | 6.00 | 5.25 |
| Jan 25 | 6.25 | 6.00 | 5.25 |
| Mar 17 | 6.50 | 6.00 | 5.50 |
| May 3 | 7.25 | 6.00 | 6.00 |
| Jun 16 | 7.50 (+25) | 6.00 (0) | 6.50 (+25) |
Which one of the following can be the most likely reason for the Central Bank for such an action?