The Reserve Bank of India has raised the Statutory Liquidity Ratio (SLR), the portion of deposits that banks are required to keep in government securities by 100 basis points from 24 per cent to 25 per cent in its quarterly policy review. The RBI, however, kept other key rates and ratios such as repo, reverse repo and cash reserve ratio unchanged. Hence the Repo will continue at 4.75 per cent, Reverse Repo at 3.25 per cent and Cash Reserve Ratio at 5 per cent. The decision to raise SLR, in the second quarterly review of the credit policy, is aimed at reducing liquidity and fighting inflationary expectations, which has started building up especially in the case of food items. The apex bank also retained the GDP forecast for 2010-11 unchanged at 6 per cent and inflation forecast raised to 6.5 per cent from 5 per cent. The bank also lowered money supply growth projection to 17 per cent. Real Estate provision has also been hiked to 1 per cent from 0.4 percent. Speaking to bankers on Tuesday at the second quarter review of the monetary policy for 2009-10, RBI Governor D Subbarao said the stance of the policy for the rest of the year would be to monitor the price situation in its entirety and take measures as warranted by the evolving macroeconomic conditions 'swiftly and effectively'.