The Reserve Bank of India has left all key rates unchanged at its policy meet held earlier during the day as it felt that what has already been acted has not been transmitted to credit markets. The central bank also expects the economy to worsen further and so has revised its GDP growth target from 7.5% to 7% with a downward bias for FY09. Commenting on the same, D Subba Rao, Governor of RBI, while addressing the media, said global financial crisis has affected India's real, financial sectors. He feels the financial sector has still not reached any level of stability globally. “Thus, there are indications that International Monetary Fund may further revise the international growth outlook downward.” Rao feels India is much more integrated with the world economy now. Depending RBI's stance so far, he said the central bank has acted to protect economy and to maintain rupee, dollar liquidity. “We have substantially expanded export credit refinance facility. Also, reports show that RBI rate adjustments are aggressive when compared with others.”

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