RBI's Surprise Liquidity Boost Propels Nifty Bank to Record Heights

The Nifty Bank index soared to its highest ever on Friday, following the Reserve Bank of India's decision to reduce the cash reserve ratio (CRR) by an unprecedented 1%.

This strategic move is set to release Rs 2.5 lakh crore into the banking system, markedly enhancing its lending capacity towards productive economic sectors.

The stock market celebrated the RBI's bold steps, with significant gains across banking and financial stocks, as investors anticipate robust credit growth and improved bank profitability.

(With inputs from agencies.)