High policy rate not impinging on growth, economic activity well sustained: RBI Guv Das

The RBI on Friday raised the GDP growth projection for the current fiscal to 7% from its earlier forecast of 6.5% due to buoyant domestic demand and higher capa

Why did RBI pause its tightening streak? What would be its future course of action? Will it continue to pause, raise or lower the policy rates in the coming months? The recent pause can be attributed to a number of factors.

RBI expected to maintain key interest rate due to inflation concerns

The RBI had hiked rates six times in a row before it decided to pause. The impact of those rate hikes is not believed to have percolated to the ground. That strengthened the case for a pause. There have been fears of overtightening and hurting growth. In the previous MPC meeting two members had outlined these concerns.

New Delhi [India], February 5 (ANI): The Monetary Policy Committee of the Reserve Bank of India (RBI) in its February review meeting is expected to again put a pause on the repo rate, according to SBI Research. In its December meeting, the RBI unanimously decided to keep the policy repo rate unchanged at 6.5 per […]

The review by the six-member MPC led by Das will likely indicate the course RBI will adopt in the remainder of the financial year as it seeks to strike a fine balance between maintaining growth and keeping inflation under control amid high crude oil prices and surging US bond yields.

Nilesh Shah, MD of Kotak Mahindra Asset Management Company, compared RBI Governor Shaktikanta Das to opening batsman Sunil Gavaskar for standing without fear in front of a challenging global environment. The RBI is balancing growth and inflation, said Shah. The Indian market would be pleasantly surprised if GDP growth for FY24 came in line with RBI expectations of 6.5%, he added. Meanwhile, at the three-day meeting of RBIs monetary policy committee, the decision was unanimously made to keep the policy rate unchanged at 6.50%.

The Reserve Bank of India-led Monetary Policy Committee's (MPC) five consecutive no-action policies in no way signals that the central bank is leaning towards a Neutral stance, said Governor Shaktikanta Das in the post policy press conference on Friday.

RBI MPC announcements on April 5, 2024: Fixed Deposit (FD) investors will keenly watch the Reserve Bank of India's (RBI) first Monetary Policy Committee (MPC) meeting of the new financial year, scheduled for this week. RBI Governor Shaktikanta Das will unveil the MPC's decisions on interest rates on Friday, April 5, 2024. The repo rate, the benchmark interest rate set by the RBI, serves as a key determinant of FD interest rates. RBI monetary policy announcement is crucial for FD investors seeking clarity on the future trajectory of interest rates. How FD interest rates are likely to change in the next few months and how FD investors can make the most of this scenario

The RBI Governor says that amidst a challenging global macroeconomic environment, India presents a picture of growth and stability. Indian economy should record...