Bank Rate, Reverse Repo Rate, Repo Rate and Cash Reserve Ratio kept unchanged at 6%, 5.5% and 5%, respectively.
Risk weight on exposures to commercial real estate raised to 150%.
Focus on credit quality and financial market conditions for maintaining macroeconomic, in particular, financial stability.
Monetary and interest rate environment enabling growth momentum consistent with price stability.
GDP growth projection for 2006-07 at 7.5-8.0 per cent.
Inflation to be contained within 5.0-5.5 per cent during 2006-07.
M3 projected to expand by around 15.0 per cent for 2006-07. In normal circumstances, the policy preference would be for maintaining a lower order of money supply growth in 2006-07.
Deposits projected to grow by around Rs.3,30,000 crore for 2006-07.
Adjusted non-food credit projected to increase by around 20 per cent, implying a calibrated deceleration from a growth of around 30 per cent ruling currently.
Appropriate liquidity to be maintained to meet legitimate credit requirements, consistent with price and financial stability.
Ceiling interest rate on non-resident (external) rupee deposits raised to US dollar LIBOR/SWAP plus 100 basis points.
Ceiling interest rate on export credit in foreign currency raised to LIBOR plus 100 basis points.
Exposure to venture capital funds treated as part of capital market exposure and assigned with higher risk weight of 150%.
