India’s central bank lowers its expectations for the country’s economic growth even further and has also introduced a new interest rate cut, the fifth of this year. The Reserve Bank of India (RBI) lowers the interest rate by a quarter of a percentage point to 5.15 percent.
The forecast for the growth of Asia’s third economy for 2019 was lowered to 6.1 percent from a previously predicted 6.9 percent. That is already the fourth time that this forecast has been adjusted downwards. India’s economy has been weakening for a long time, partly due to global economic cooling. By lowering interest rates, the RBI wants to boost growth.
In the second quarter, India’s economy grew by 5 percent. That was the slowest progress in six years.