MPC: Covid surge biggest challenge to ongoing economic recovery, says Das

The RBI governor also said that global financial markets have turned volatile over inflation fears in advanced economies and rising commodity prices, posing risks to the domestic outlook

Rapidly rising coronavirus cases are the single biggest challenge to ongoing recovery in the Indian economy, said Reserve Bank of India (RBI) governor Shaktikanta Das during the latest monetary policy meeting, according to the minutes released by the central bank.

"The need of the hour is to effectively secure the economic recovery underway so that it becomes broad-based and durable. The renewed jump in coronavirus infections in several parts of the country and the associated localised and regional lockdowns add uncertainty to the growth outlook," Das said.

During the policy meeting, the RBI decided to leave benchmark interest rate unchanged at 4