RBI financial policy LIVE: The Reserve Bank of India’s (RBI’s) six-member financial policy committee (MPC), headed by Governor Shaktikanta Das, is more likely to keep key curiosity rates for a ninth straight assembly, retaining an accommodative stance amid the threat surrounding Omicron coronavirus variant.
Repo and reverse repo rates at the moment stand at 4 per cent and three.35 per cent, respectively.
A Business Standard ballot of 16 economists and bond market consultants anticipated the committee to proceed a establishment policy on the repo charge at 4 per cent, and the stance “accommodative”.
Here are key factors to take a look at forward of the RBI announcement:
India’s economic system expanded 8.4 per cent within the September quarter from a yr earlier, the quickest tempo amongst main economies, however economists mentioned disruptions from the brand new virus variant risked slowing the restoration.
Inflation has been inside the RBI’s 2-6 per cent goal vary as a result of cuts in taxes on gas by central and native governments, however the injury to perishable meals objects as a consequence of unseasonal heavy rains and telecom worth hikes are more likely to push inflation up but once more.
The central financial institution had final revised the policy charge on May 22, 2020, in an off-policy cycle to perk up demand by chopping rate of interest to a historic low.
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