RBI monetary policy panel's worries about growth signals more rate cuts

MPC concern explains Governor Shaktikanta Das's statement that the Reserve Bank of India would keep its policy stance accommodative.

The Reserve Bank's Monetary Policy Committee (MPC) was unanimous in its view that a deepening economic slowdown is worrying enough to keep interest rates low for longer, the minutes of its latest meeting show.

The concern explains Governor Shaktikanta Das’s statement that the Reserve Bank of India would keep its policy stance accommodative for as long as it is necessary to revive growth. On October 4, the MPC lowered interest rates for a fifth straight time after data showed economic expansion slowed to a six-year low of 5 per cent in the quarter ended June.

Minutes from the policy meeting released on