India becomes the 21st central bank to cut rates this year.

Everyone is out of step with the Fed.  The strong dollar problem is intensifying.

From Reuters:

UPDATE 5-India's RBI surprises again with post-budget rate cut


Wed Mar 4, 2015 6:32am EST

* RBI cuts repo rate 25 basis points to 7.5 pct

* Second cut this year, embarked on easing cycle in January

* Both made outside of regular policy reviews, surprising markets

* Rajan says economic growth recovering steadily (Adds quotes from Rajan's teleconference)

By Rafael Nam and Neha Dasgupta

MUMBAI, March 4 (Reuters) - India's central bank unexpectedly lowered its policy rate for the second time this year on Wednesday, backing a government that is pushing to revive economic growth as inflation cools.

Although markets had broadly expected the Reserve Bank of India to reduce rates again after a cut in January, few had expected a move just days after the government unveiled a budget that took a slower path to lowering the fiscal deficit.

After cutting the policy repo rate by 25 basis points to 7.50 percent, RBI Governor Raghuram Rajan issued a statement citing his reasons for making the move a month before a scheduled policy review.

"Given low capacity utilisation and still-weak indicators of production and credit off-take, it is appropriate for the Reserve Bank to be pre-emptive in its policy action," he said.

The RBI embarked on an easing cycle on Jan. 15 with a quarter percentage point reduction that had also caught market off guard by taking place outside of a scheduled review.



The benefits have still to pass through to borrowers, however, as commercial banks have been hesitant about lowering their lending rate