RBI Monetary Policy Committee meet: Check date, time and what to expect

RBI MPC: In a poll conducted by Business Standard, all 10 respondents said that the MPC might maintain the status quo for a sixth consecutive time

The Reserve Bank of India's Monetary Policy Committee (RBI MPC) is all set to begin its three-day deliberations on February 6 in Mumbai. This would be the first such meeting after the announcement of the interim Budget by Finance Minister Nirmala Sitharaman.

RBI MPC meeting 2024: Date and time

The MPC meeting will start on February 6 and end on February 8. On February 8, RBI Governor Shaktikanta Das will announce the MPC decision at around 10 am.

What does the MPC do?

The government has formed the committee to ensure the retail inflation based on the Consumer Price Index (CPI) remains at 4 per cent with a margin of 2 per cent on either side.

India's retail inflation in the current year has declined after touching a peak of 7.44 per cent in July 2023. However, it is still high and was 5.69 per cent in December 2023.

READ: Monetary policy: RBI likely to hold rates for sixth time, shows BS poll
 

RBI monetary policy: What to expect?

In a poll conducted by Business Standard, all 10 respondents said that the MPC might maintain the status quo for a sixth consecutive policy review.

For five times in a row now, the RBI MPC has kept the repo rate at 6.5 per cent. The benchmark interest rate was last raised in February 2023 to 6.5 per cent from 6.25 per cent to contain inflation driven mainly by global developments.

Moreover, most economists also suggest that the RBI MPC may continue with its stance of withdrawal of accommodation.

A majority of the respondents of the BS Poll expect the committee to begin cutting the repo rate between June and August 2024 on the back of consistent moderation observed in core inflation across goods and services, culminating in anticipation of headline inflation averaging around 4.5 per cent in 2024-2025.