Monetary policy review: We want to withdraw ultra-accommodation, says RBI

We are watchful and the situation is dynamic and fast changing and all our actions will be tailored accordingly, says Shaktikanta Das

After the monetary policy committee (MPC) meeting, Reserve Bank of India Governor Shaktikanta Das, Deputy Governors Michael Debabrata Patra, T Rabi Sankar & Rajeshwar Rao spoke on various issues, ranging from the liquidity management stance of the MPC to the future of non-banking financial companies, at a press conference. Edited excerpts:

Does the next step involve moving to a neutral stance? Why did the RBI bring the standing deposit facility (SDF) now? Is it to allow the non-banks to participate?

Das: For non-banks, there is no such proposal.

Patra: We had taken the policy repo rate to an all-time low of 4 per