RBI’s Financial Stability Report, December 2022

The Financial Stability Report (FSR), which reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability and the resilience of the financial system. FSR is published two times in a year.

Report on Trend and Progress of Banking in India 2021-22

Report on Trend and Progress of Banking in India 2021-22, is a statutory publication in compliance with Section 36 (2) of the Banking Regulation Act, 1949. This Report presents the performance of the banking sector, including co-operative banks and non-banking financial institutions, during 2021-22 and 2022-23 so far.

Statement on Developmental and Regulatory Policies

The Statement sets out various developmental and regulatory policy measures relating to (i) Regulation and Supervision; (ii) Payment and Settlement Systems; and (iii) Financial Markets.

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.

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.

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.

RBI’s Financial Stability Report, June 2022

Reserve Bank released the 25th issue of the Financial Stability Report (FSR), which reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability and the resilience of the financial system..

Why Is Rupee Falling against Dollar and What Is The Way Ahead? Where will the Rupee end up? Rupee likely to hit 81 against dollar by FY23-end.

The Indian rupee has plummeted to fresh all-time lows over the last several days as emerging market assets are battered by a global risk-off, which has triggered a flight to safe-haven assets. Meanwhile, foreign money continues to leave Indian assets even as the trade deficit worsens. The rupee’s fall these days, experts say, is primarily because of high crude oil prices, a strong dollar overseas, and foreign capital outflows.
Yet, the rupee has performed better, compared with several of its Asian peers and the Reserve Bank of India (RBI) is committed and well prepared to contain the volatility in the exchange rate.
In summary, the backdrop of heated inflation, Covid crisis, monetary tightening by key central banks, and supply chain disruptions sparked by the Russia-Ukraine war have slowed down global economic activity, leading to the rupee’s massive drop against the dollar.

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.

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.