Modi govt's policies helped in reducing repo rate: BJP

The party also gave credit to the Modi-led govt for putting the country on the strong path of development and good governance

Giving credit to the policies of Narendra Modi government in helping reduce repo rates, BJP today said this will help in speedy inflow of foreign investment and help strengthen the economy further besides helping the middle class with reduced loan rates.

The party also gave credit to the Modi-led government for putting the country on the strong path of development and good governance through various initiatives taken by it.

Party national secretary Shrikant Sharma said Indian economy is continuously improving under the NDA regime, with inflation coming down to sub-zero values and growth rate on the rise to upto 7.4 per cent. It is expected to rise to double digit.

"In less than two months, the RBI has twice brought the interest rates down which will help in lowering the home loans, auto loans and other loans, the biggest advantage of which will accrue to the middle class.

"The credit for reduced interests rates goes to Narendra Modi-led NDA government which has achieved success in controlling fiscal deficit by adopting good financial management," he said.

The BJP leader said by following the policy of cooperative federalism the Modi government has decided to allocate more funds to states from central taxes due to which the financial status of the states will improve from next fiscal.

Their combined fiscal deficit will also reduce. Inflation has gone down to sub-zero levels due to strong steps taken by the Modi government, he said.

Sharma also credited the policy initiatives taken by the NDA government for reduction in repo rates announced by RBI, saying the new regime under Prime Minister and Arun Jaitley should be credited. The new government believes in 'Sabka saath, Sabka Vikas'.