Wed, Oct 09, 2024
RBI Monetary Policy, October 9, 2024: Domestic growth has sustained its momentum, with private consumption and investment growing in tandem.
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Thu, Aug 08, 2024
RBI Monetary Policy: During the MPC today, RBI Governor Shaktikanta Das proposed a new initiative to reduce the cheque-clearing time from up to two days to a few hours.
Wed, Jun 19, 2024
In India, high-frequency indicators suggest the real GDP growth in Q1 FY2024-25 is broadly maintaining the pace it achieved in the preceding quarter.
Mon, Jul 30, 2018
RBI had increased the benchmark short term lending rate (repo rate) by 0.25 per cent to 6.25 per cent in its last policy review in June on inflationary concerns. The retail inflation, which is factored in by the MPC, spiked to a five-month high of 5 per cent in June on costlier fuel. The government has mandated the Reserve Bank to keep inflation at 4 per cent (+/- 2 per cent).
Tue, Jul 24, 2018
August rate decision is set to be a close call even though a status quo rather than a hike has emerged as the best option.
Sun, Jun 10, 2018
In second bi-monthly monetary policy of FY19, RBI hiked repo rate and reverse repo rate by 25 basis points to 6.25% and 6% from previous 6% and 5.75%.
Sat, Jun 09, 2018
By hiking a repo rate RBI has taken a lot of risk. While it tries to ease down inflation, consumers will face the brunt of this hike.
The Indian rupee is finding it difficult to stay afloat against US benchmark dollar at interbank forex market, not only this the domestic currency has continued to be among worst performer in EM markets.
Thu, Jun 07, 2018
Some big lenders including SBI, ICICI Bank and HDFC Bank had increased their Marginal Cost of Funds Based Lending Rates (MCLR) in anticipation of RBI raising repo rate, at which it lends money to banks. In its second bi-monthly monetary policy of the current fiscal, the Reserve Bank of India yesterday hiked the key short-term lending rate by 0.25 per cent after a gap of about four and half years. The current repo rate stands at 6.25 per cent.
This comes very surprising, because many economists did expected a raise in repo rate ranging from 50 basis points to 25 basis points, but nobody expected it will take place in this monetary policy.
Wed, Jun 06, 2018
Many lenders like State Bank of India, Punjab National Bank, ICICI Bank, Kotak Mahindra Bank and Union Bank of India started increasing their benchmark marginal cost-based lending rates (MCLR) in the run-up to the RBI monetary policy meet.
The RBI repo rate hike will have a direct impact on deposits and lending of banks, which in turn would weigh on EMIs a borrower pays for his loans, either personal, home or auto.
The statement said that on a quarterly basis, agriculture growth increased sharply in Q4 of fiscal 2017-18. Citing monsoon picture, it said that the India Meteorological Department (IMD) on April 16, had forecast a normal south-west monsoon rainfall, which was reaffirmed on May 30. The committee feels that the forecast of normal monsoon this year augurs well for the agricultural sector.
RBI surprised many economists and analysts by hiking repo rate and reverse repo rate by 25 basis points to 6.25% and 6% respectively.
While rates increased across indicators, the central bank also decided to hike the Liquidity Coverage Ratio (LCR) carve-out from Statutory Liquidity Ratio (SLR).
RBI Governor Urjit Patel, along with six-member Monetary Policy Committee (MPC) for the first time in history decided to hold the policy meet over 3 days.
The MPC resolution under the Second Bi-monthly Monetary Policy Statement for 2018-19 today decided to increase the policy repo rate under the liquidity adjustment facility (LAF) by 25 basis points to 6.25 per cent.
Currently, RBI repo rate stands at 6%. Consequently, the reverse repo rate under the LAF remains at 5.75%, and the marginal standing facility (MSF) rate and the bank rate at 6.25%.
Many analysts are expecting either another status quo or a rate hike and it needs to be highlighted here that rate cut dilemma is not really in the picture.
7th Pay Commission had recommended HRA too be fixed at 24%, 16% and 8% depending on the cities employees work in. But, central government employees demanded 30%, 24% and 16% HRA.
RBI in last policy meet revised its CPI inflation target to 4.7 - 5.1% in H1FY19 and 4.4% in H2FY19.
This is for the first time that six-member committee is meeting for three days instead of the usual two, due to certain administrative exigencies. The committee has been entrusted with the task of setting the benchmark interest rate after an amendment was passed through the Finance Act, 2016.
Currently, India’s repo rate stands at 6%. Consequently, the reverse repo rate under the LAF remains at 5.75%, and the marginal standing facility (MSF) rate and the Bank Rate at 6.25%.
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