Category: Monetary Policy Committee (MPC)

RBI’s Bi-Monthly Monetary Policy Review 8th June 2023 – Highlights and Key Takeaways

The six-member Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) on Thursday the 8th June 2023, kept the policy repo rate unchanged at 6.5 per cent in a unanimous decision. Governor Shaktikanta Das, while announcing the MPC decision, said that the central bank has retained the withdrawal-of-accommodation stance. This was second time in a row that the RBI opted for a pause in rate hike. The central bank has retained growth projection at 6.5 per cent for FY24, expects 8 per cent growth in Q1, 6.5 per cent in Q2, 6 per cent in Q3, while 5.7 per cent in Q4. “Domestic demand condition remains supportive of growth, while rural demand on revival path,” the governor said.

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RBI’s Bi-Monthly Monetary Policy Review dt 8th February 2023 – Key Highlights

The Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) on Wednesday hiked the repo rate by 25 basis points to 6.50 per cent. Wednesday’s MPC meeting is the last one for this fiscal. The repo rate is the rate at which the RBI lends to the banks.

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RBI’s Bi-monthly Review dt. 7th December 2022 – Key Takeaways and Highlights of the Policy

The Monetary Policy Committee (MPC) met on 5th, 6th and 7th December 2022. Based on an assessment of the macroeconomic situation and its outlook, the MPC decided by a majority of 5 members out of 6 to increase the policy repo rate by 35 basis points to 6.25 per cent, with immediate effect. Consequently, the standing deposit facility (SDF) rate stands adjusted to 6.00 per cent, and the marginal standing facility (MSF) rate and the Bank Rate to 6.50 per cent. The MPC also decided by a majority of 4 out of 6 members to remain focused on withdrawal of accommodation to ensure that inflation remains within the target going forward, while supporting growth.

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RBI MPC Meet 30th September 2022 – Key Highlights: Policy rates hiked for 4th straight time, growth projections lowered

RBI Monetary Policy key highlights: Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) today raised the policy rate by 50 basis points, to further rein in inflation. The fourth consecutive rate hike in a row comes amid rising fears of global recession, surging inflation, and a slump in Indian rupee and bond markets. The central bank is trying hard to maintain a tight balance between controlling inflation on one hand and support the nascent economic growth recovery on the other hand.

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RBI Bi-Monthly Monetary Policy 5th August 2022 – Highlights & Key Takeaways

The Reserve Bank of India on Friday hiked the repo rate by 50 bps, taking the key policy rate back to the pre-pandemic level of 5.4 per cent. Today’s hike was the third such in a row, with which the cumulative rate hike since May is now 140 bps. The central bank’s MPC (Monetary Policy Committee) said that it remains focused on “withdrawal of accommodation” to combat the elevated inflationary pressures while also supporting growth.
“These decisions are in consonance with the objective of achieving the medium term target for consumer price index (CPI) inflation of 4 per cent within a band of +/- 2 per cent, while supporting growth,” Governor Shaktikanta Das said.
Sustained high inflation could de-stabilise inflation expectations and harm growth in the medium term, he added.

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RBI’s Monetary Policy Review 8th June 2022 – Key Takeaways and Highlights

The Reserve Bank of India (RBI) has raised the repo rate by 50 basis points, an increase for the second time in five weeks at the conclusion of the monetary policy committee’s three-day meeting on June 8. Earlier, the monetary policy committee (MPC) had held an unscheduled meeting in early May and voted unanimously for a 40 basis point repo rate hike in anticipation of a huge increase in April inflation. Consequently, the standing deposit facility (SDF) rate stands adjusted to 4.65 per cent and the marginal standing facility (MSF) rate and the bank rate to 5.15 per cent. The MPC also voted unanimously to remain focused on the withdrawal of accommodation to ensure that inflation remains within range going forward, while supporting growth.

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RBI’s Bi-Monthly Monetary Policy 8th April 2022 – Key Takeaways and Highlights

The Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) on Friday left unchanged the key policy rate — Repo rate — at 4 per cent and the Reverse repo rate at 3.35 per cent.
However, the RBI introduced the Standing Deposit Facility (SDF) – an additional tool for absorbing liquidity – at an interest rate of 3.75 per cent. The central bank retained its accommodative policy stance but hinted that it will be less accommodative in the wake of elevated inflation levels.

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RBI Bi-monthly Monetary Policy Review February 2022 – Highlights and Key Takeaways

RBI’s Monetary Policy Committee (MPC) had began its three-day deliberations on February 8th instead of 7th due to Maharashtra government’s decision to declare February 7 as a public holiday to mourn the passing of the singing legend Lata Mangeshkar.
The RBI has decided to continue its accomodative stance and has kept repo rate unchanged at 4 percent and reverse repo rate unchanged at 3.35 percent. The Reserve Bank of India has projected real GDP Growth at 7.8 percent for fiscal year 2022-23.The CPI inflation projection has been retained at 5.3% for FY 2021-22 and 4.5% for FY 2022-23.

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RBI’s Bi-Monthly Policy Review – Key Highlights

The Reserve Bank of India’s (RBI’s) six-member monetary policy committee (MPC), headed by Governor Shaktikanta Das, decided to maintain key interest rates for a ninth straight meeting, retaining an accommodative stance amid the threat surrounding Omicron coronavirus variant.

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RBI Monetary Policy Bi-Monthly Review 8th October 2021 – Highlights and Key Takeaways

The Reserve Bank of India (RBI) on Friday decided to keep benchmark interest rate unchanged at 4 percent but maintained an accommodative stance.

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