Reserve Bank Of India (RBI) Governor Shaktikanta Das Monetary Policy Statement, Repo Rate, Inflation RateFebruary 5, 2021
RBI Monetary Policy LIVE: Reserve Bank of India Governor Shaktikanta Das-led Monetary Policy Committee (MPC) is announcing its policy decision today, at the end of a scheduled review that began on Wednesday. The Monetary Policy Committee voted unanimously to keep the policy rate unchanged at four per cent. In its first post-budget meet, the MPC decided to maintain the status quo.
This is the first meeting of the six-member MPC after Budget 2021. The Reserve Bank slashed its key lending rate i.e. repo rate by 115 basis points since March 2020 to cushion the economy from the shock of coronavirus crisis. Ms Das announced that the MPC has kept the repo rate unchanged at four per cent to maintain status quo.
RBI Governor Shaktikanta Das said that the projected increase in capital expenditure augurs well for capacity creation and crowding-in private investment, improving growth prospects. The central bank projected GDP growth at 10 per cent for financial year 2021-22
The central bank proposed to provide funds from banks under the TLTRO on tap scheme to non-banking financial company (NBFC) to specified sectors.
The Monetary Policy Committee expects CPI inflation to be 5.2 per cent in fourth quarter of this fiscal year. In the coming fiscal year, it is expected to be in the range of 5.2 per cent to 5 per cent in the first half. For third quarter of next fiscal year, that inflation is pegged at 4.3 per cent with risk broadly balanced.
Direct access to retail investors in G-Sec market
Mr Das announced that the rtail investors can now access primary , secondary government bond market
RBI Governor Shaktikanta Das announced that the central bank remains committed to ensuring there is ample liquidity in the financial system. He said that the liquidity stance is accommodative.
Shaktikanta Das keeps reverse repo rate unchanged
The Monetary Policy Committee led by Mr Das kept the reverse repo rate unchanged at 3.35 per cent.
RBI Governor Shaktikanta Das said that the MPC expects the gross domestic product (GDP) growth to be at 10.5 per cent in 2021-22. It also expects GDP to be in the range of 26.2 per cent to 8.3 per cent in first half and six per cent in the third quarter of the coming fiscal year.
The Monetary Policy Committee led by RBI Governor announced that it has decided to keep rates unchanged in its first bi-monthly meeting of 2021. The vote was unanimous in favour of maintaining the status quo.
RBI Governor Shaktikanta Das began addressing the monetary policy statement at 10:00 am on Friday, February 5. A post policy press conference will be telecast at 12:00 noon today