The Reserve Bank Of India's Monetary Policy Committee (MPC) decided to maintain status quo and keep the repo rate unchanged at 4%. The reverse repo rate will continue to be 3.35%. Reserve Bank of India (RBI) Governor Shaktikanta Das said the policy stance continues to be accommodative. The monetary policy committee voted 5:1 to maintain an accommodative stance and keep the key rates unchanged.
RBI Governor announced that the CPI inflation is projected at 5.3% for the current financial year 2021-22. In the second quarter of current fiscal, inflation is seen at 5.1%, at 4.5% in the third quarter, and at 5.8% in the fourth quarter of the fiscal. The gross domestic product (GDP) growth for the first quarter of the next financial year 2022-23 is projected at 17.1%. For the current fiscal 2021-22, GDP growth projection is retained at 9.5%. The RBI Governor added that the growth is projected at 7.9% in second quarter, at 6.8% in third quarter, and 6.1% in fourth quarter of the financial year. The domestic economy grew by 20.1% in the first quarter of the current financial year. The sharp jump in the gross domestic product (GDP) was mostly aided by the low base effect as the economy had contracted by a record 24.4% in the year-ago period.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
