You are here: Home » Finance » RBI Policy » News

Banks start raising their lending rates for external benchmark loans

Business Standard

Eye on target: Fears of high inflation prompted RBI's off-cycle meeting

Growth forecast was cut to 7.2 per cent, from 7.8 per cent for FY23. Both forecasts were made assuming crude oil prices at $100/bbl

RBI monetary policy | RBI Policy

Manojit Saha  |  Mumbai 

Near 7 per cent retail inflation in March and expectations of similar prints in April – and probably the entire April-June quarter – necessitated the off-cycle meeting of the monetary policy committee (MPC) members as they realised the urgency to act fast or face the grim prospect of failing to fulfil their mandate. In a surprise move, the MPC increased the repo rate by 40 basis points (bps) to 4.4 per cent on Wednesday.

The cash reserve ratio was hiked by the RBI by 50 bps to 4.5 per cent. The main objective of the MPC is to target 4 per cent consumer price inflation ...

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Fri, May 06 2022. 06:10 IST