India's central bank has cut interest rates by a more-than-expected 50 basis points - marking its fourth cut this year.

The Reserve Bank of India reduced its key repo rate to 6.75%, more than market expectations of 7% .

The repo rate is the level at which the central bank lends to commercial banks.

The bank has been under pressure to boost growth after inflation hit a record low of 3.6% in August due to falling commodity prices.

The reserve bank has already cut the policy rate by 75 basis points this year in January, February and June on the back of low inflation.

Annual economic growth in India, Asia's third largest economy, fell to 7% between April and June, slower than the 7.5% in the previous quarter.

Consumer inflation is also well below the central bank's target of 6% for January next year.

(BBC)