India industry leaders have expressed disappointment over the RBI's decision to keep its interest rates unchanged in scheduled review of the monetary policy recently.

The country's central bank kept its key lending rates unchanged in its mid-quarter monetary policy review even as it was widely expected that the rates would be cut following weak figures from the economy.

The central bank appears to be concerned with the high inflation in the country and decided not to reduce rates, a move that has disappointed industry members. It was expected that RBI might reduce Cash Reserve Ratio (CRR) to increase the flow of money in the economy.

Industry body, Assocham President Rajkumar Dhoot said that a cut in the interest rate could have given a boost to the industrial sector and improved economic growth. Meanwhile, CII Director General Chandrajit Banerjee said that the industry is very disappointed over the decision. He also pointed out that the inflation is rising because of the supply side issues.

India's GDP growth has fallen to its lowest level in 9 years to 5.3 per cent for the fourth quarter of the financial year till March 2012. The GDP growth for the same quarter of 2010-11 was 9.2 per cent, showed the latest data announced by the government. Industry leaders expected the RBI to reduce its rates to give a stimulus to the economy for improving the economic growth.