The Reserve Bank of India (RBI) reduced its key repo rate on Friday for the first time since May 2020, aiming to provide stimulus to the sluggish economy, which is projected to grow at its slowest pace in four years during the current fiscal year.

India's GDP growth is seen slowing to a 4-yr low this financial year. India's central bank has cut interest rates for the first time in nearly five years to counter slowing growth in Asia's third largest economy.