RBI Monetary Policy Committee keeps Repo rate unchanged at 4%
RBI Governor announced that the Policy Repo Rate will remain unchanged at 4% and that the Marginal Standing Facility and Bank Rate will remain at 4.25%
.jpg)
New Delhi: The Governor of the Reserve Bank of India, Shri Shaktikanta
Das has announced that the Policy Repo Rate will remain unchanged at 4%
and that the Marginal Standing Facility and Bank Rate will remain at
4.25%.
The Reverse Repo Rate too will remain unchanged at 3.35%.
He informed that the Monetary Policy Committee was of the view that
policy support from all sides is required to gain growth momentum and to
nurture recovery after it takes root. “Hence policy rate has been left
unchanged and an accommodative stance has been decided to be continued
as long as necessary to revive and sustain growth, while ensuring
inflation remains within target” the Governor said while delivering
RBI’s bi-monthly monetary policy statement through an online address.
Economy projected to grow at 9.5% in 2021-22
The Governor informed that according to the RBI, Real GDP growth is projected to grow at
9.5%
in 2021-22. Explaining the basis for this, he noted that unlike the
first wave, impact on economic activity is expected to be relatively
contained in the second wave, with restrictions on mobility being
regionalised and nuanced.
While urban demand slowed in April and
May 2021, the vaccination process is expected to gather steam in coming
months and should help to normalise economic activity. The rebound in
global trade is expected to support India’s export sector. He observed
that rural demand is expected to remain strong, due to forecasts of a
normal monsoon.
The Governor announced that the Consumer Price Index inflation is projected at 5.1% in 2021-22.
Join PSU Connect on WhatsApp now for quick updates! Whatsapp Channel
